Egypt has an ambitious three-year reform plan that, with foreign help, can revive its struggling economy, the minister of international co-operation told AFP. In an interview, Sahar Nasr said the "three-year strategy" will lead to a return of investments, boost industrial production and create jobs. It comes as Egypt faces not only falling growth and a currency crisis following years of political turmoil, but also increasing public discontent over rising prices.
"Once these reforms are all in place, there will be a positive impact on the economy, and on the social front," Nasr said. "Especially in the medium and long term." The economy of Egypt, the most populous Arab country, has faced major challenges since the 2011 ouster of longtime ruler Hosni Mubarak. President Abdel Fattah al-Sisi, who took power after the 2013 overthrow of his Islamist predecessor Mohamed Morsi, has vowed to get the economy back on track.
His government has sought help abroad and on November 11 the International Monetary Fund approved a $12 billion loan to Egypt over the next three years. The country will also benefit from the release of the first tranche of a $1 billion World Bank loan and the deposit by the African Development Bank of the first tranche of a $1.5 billion loan. Cairo is also finalising an $800 million loan with the European Union. Nasr said the aid programmes are helpful but will provide only temporary support. Donors are "helping Egypt to stand on solid ground, helping Egypt not to rely on foreign aid, and not to rely on any borrowing from international financial institutions" in the long run, she said.
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