Bloomberg Anywhere Login


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Egypt Challenges Include Fiscal Deficit, Debt, Moody’s Says

May 24 (Bloomberg) -- Egypt faces challenges including stretched public finances and high public debt, Moody’s Investors Service said today after earlier cutting its ratings on the North African nation’s debt.

“Egypt suffers from deep-seated political, socio-economic challenges,” Moody’s said in a statement. “These include chronic high rate of unemployment, elevated inflation, widespread poverty.”

Moody’s on March 16 downgraded Egypt’s foreign and local currency government bond ratings by one notch to Ba3 from Ba2. The outlook on these ratings remains negative.

“Public finances in Egypt, already stretched, are significantly weaker than Ba rating peers,” Moody’s said.

Countering the negative trends, Egypt has a relatively diversified economy, is a small net exporter of hydrocarbons, retains a significant level of foreign exchange reserves and most government debt is denominated in local currency and held by domestic creditors, Moody’s said.

Financial support from “well-disposed” donors, especially the U.S., and discussions with the International Monetary Fund concerning a possible loan package also support Egypt’s ratings, Moody’s said.

To contact the reporter responsible for this story: Mahmoud Kassem at

To contact the editor responsible for this story: Riad Hamade at

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.