Statement by IMF Managing Director Kristalina Georgieva on Egypt
IMF News, April 26, 2020
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- Statement by IMF Managing Director Kristalina Georgieva on Egypt
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Bibliographic details
- Published: April 26, 2020
Press release metadata
- Press Release No. 20/188
- Date: April 26, 2020
- Issued by: IMF Communications Department
- Press officer: Randa Elnagar
- Phone: +1 202 623-7100
- Email: MEDIA@IMF.org
Economic impact and government response
- “Like many countries around the world, Egypt’s economy has been impacted by the COVID-19 outbreak, the related global recession, and financial markets turmoil.”
- Government actions:
- “President El Sisi and his Government have responded quickly and decisively with measures to limit its spread and provide support to affected people and businesses.”
- “The Central Bank of Egypt has also implemented timely measures to support the domestic economy.”
IMF financial support requested
- Instruments requested by the Central Bank and the Government of Egypt:
- Rapid Financing Instrument (RFI)
- Stand-By Arrangement (SBA)
- Purpose of the RFI:
- “The emergency financing under the RFI will allow the government to address any immediate balance of payments needs and support the most affected sectors and vulnerable groups of people.”
- Timing:
- “I expect the request for the RFI to be presented to the IMF’s Executive Board within the next few weeks.”
Stand-By Arrangement (SBA) engagement
- IMF staff engagement:
- “My staff is also working with the Egyptian government to support its strong set of macroeconomic policies through an SBA.”
- Objectives of the SBA-supported package:
- “We fully support the government’s aim to safeguard the significant gains made under the successfully completed three-year Extended Fund Facility last year.”
- If approved, the package would:
- “help strengthen confidence in the Egyptian economy,”
- “make further progress to protect the most vulnerable,” and
- “provide the basis for a strong economic recovery.”
- Additional intended effect:
- “It would also help accelerate Egypt’s reform efforts aimed to support broad-based, job-rich and sustainable growth.”
Key statements (direct quotes)
- “Like many countries around the world, Egypt’s economy has been impacted by the COVID-19 outbreak, the related global recession, and financial markets turmoil.”
- “The emergency financing under the RFI will allow the government to address any immediate balance of payments needs and support the most affected sectors and vulnerable groups of people.”
- “I expect the request for the RFI to be presented to the IMF’s Executive Board within the next few weeks.”
- “My staff is also working with the Egyptian government to support its strong set of macroeconomic policies through an SBA.”
- “We fully support the government’s aim to safeguard the significant gains made under the successfully completed three-year Extended Fund Facility last year.”
- “It would also help accelerate Egypt’s reform efforts aimed to support broad-based, job-rich and sustainable growth.”
Statement by IMF Managing Director Kristalina Georgieva on Egypt, April 26, 2020