Wednesday, May 16, 2012
(This story was originally published Tuesday.)
CAIRO (Zawya Dow Jones)--Egypt now expects to sign a $3.2 billion loan with the International Monetary Fund in early June, after the presidential elections take place, an official at the Egyptian finance ministry told Zawya Dow Jones Tuesday.
Mohammed al Saqa, a spokesperson for the finance ministry, said without elaborating on the reasons for the delay in signing, that Egypt is expected to sign the loan after the presidential elections. It was expected to have been signed this month.
Local Egyptian newspaper Al Ahram said Tuesday citing the country's finance minister, Momtaz al Saied, that Egypt and the IMF are expected the sign the loan agreement in early June, with the first instalment of $1 billion expected to arrive in early July.
This will be added as supplement the 2012/2013 budget, Al Saied was cited as saying,
Farouq al-Oqda, the central bank governor is discussing with IMF officials in Washington the technical banking procedures related to contract signing and transferring the fist instalment to Egypt, Al Saied added in the report.
The IMF has repeatedly said it needs broad political support for the loan before it accepts a government economic package. However, the powerful Muslim Brotherhood has expressed concerns over the lack of detail in the economic plan presented to the IMF.
-By Farah Halime; Contributing to Dow Jones Newswires; +20111 4994453
Fhalime@gmail.com
Copyright (c) 2012 Dow Jones & Co.
(END) Dow Jones Newswires
16-05-12 0351GMT
