Egypt IMF Deal Needed to Halt Economic Crisis, El-Arabi Says

Egypt is in an economic “crisis” from which it can’t recover without reaching a final accord with the International Monetary Fund for a $4.8 billion loan, Planning and Investment Minister Ashraf El-Arabi told reporters today.

The country’s foreign currency reserves are enough for less than three months of import needs, a level that reflects the challenges confronting the economy and which “disturbs” officials, he said.

Egypt’s net international reserves dropped to $13.6 billion by the end of January, according to central bank data. That’s more than 60 percent below their pre-2011 uprising levels.

The government will invite the IMF back to Egypt within days, or no more than a week, El-Arabi said.

To contact the reporter on this story: Abdel Latif Wahba in Cairo at alatifwahba@bloomberg.net

To contact the editor responsible for this story: Andrew J. Barden at barden@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.