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Egypt and IMF Agree on a $5.2 Billion Stand-By Arrangement

  • The country secured $2.8 billion financing from IMF last month
  • Egypt recently sold $5 billion Eurobond, its largest-ever sale
Workers spray disinfectant at a railway station in Cairo, Egypt on May 31.

Workers spray disinfectant at a railway station in Cairo, Egypt on May 31.

Photographer: Ahmed Gomaa/Xinhua via Getty Images

Egypt and the International Monetary Fund reached a staff-level agreement on a $5.2 billion stand-by arrangement that aims to alleviate the economic impact of Covid-19, the Washington-based lender said Friday in a statement.

The one-year stand-by arrangement, which is subject to approval by the IMF’s executive board, follows the $2.8 billion in emergency financing that the North African nation secured last month under the fund’s Rapid Financing Instrument, as part of the country’s plan to cover its funding gap.