News

UAE Pledges $4 Billion to Support Egypt’s Economy, Central Bank

UAE Pledges $4 Billion to Support Egypt’s Economy, Central Bank

Photo: Anadolu Agency
Photo: Anadolu Agency

The United Arab Emirates pledged USD 4 billion to Egypt to help boost the country’s economy, the Emirates’ state news agency WAM reported on Friday.

“The aid comes in the framework of strategic cooperation and coordination between the two countries, out of the USE’s firm supportive position toward Egypt and its brotherly people to promote the construction and development process and out of recognition of Egypt’s pivotal role in the region,” WAM said.

The report did not clarify whether the pledge referred to a previous offer from the UAE to give Egypt the same amount, which was announced at Egypt’s Economic Development Conference, held in Sharm El Sheikh last year.

Emirati Crown Prince Sheikh Mohammed bin Zayed al-Nahayan had arrived in Cairo on Thursday for a brief visit, during which he and Egyptian President Abdel Fattah Al-Sisi toured several projects related to the “new capital city,” a mega-project estimated to cost USD 45 billion.

The deposit in Egypt’s Central Bank is aiming to support the country’s foreign reserves, which have been depleted since the 2011 uprising the toppled former president Hosni Mubarak.

Egypt’s foreign reserves reached USD 16.5 billion, down from nearly USD 36 billion prior to the 2011 revolution.

Meanwhile, the black market price for the US dollar has skyrocketed, with traders selling each dollar for EGP 11.35, as opposed to the official rate of EGP 8.78.

Current Central Bank Governor Tarek Amer has attempted to narrow the gap between the official and black market rates since taking over from former governor Hisham Ramez in November of last year.

Last month, Amer decided to devalue the pound by 14.5 percent against the dollar. However, the decision only curbed unregulated trading for a short period of time, after which the black market rates continued to rise steadily.

Despite the economic difficulties, Amer has maintained that the Central Bank has no intention of further devaluing the country’s currency.

Egyptian Startups Win Top Three Spots, EGP 320,000 in Grants in Entrepreneurial Competition
Egyptian Teacher Caught Abusing, Insulting Student in Classroom

Subscribe to our newsletter


News

More in News

Egypt’s Public Prosecution Issues Call for Video Evidence of Fairmont Gang Rape Case

Egyptian StreetsFebruary 24, 2021

Egyptian Aged 40 or Older? You Can Register for COVID-19 Vaccination This Month

Egyptian StreetsFebruary 24, 2021

Egyptian Ministry Establishes ‘Equal Opportunity Unit’ to Promote Gender Equality and Counter Discrimination

Egyptian StreetsFebruary 22, 2021

Tamer Amin Show Suspended For Offensive Commentary on Upper Egyptians

Egyptian StreetsFebruary 20, 2021

Egypt’s Dar Al-Iftaa Launches ‘Birth Control is Permissible’ Hashtag to Counter Overpopulation

Egyptian StreetsFebruary 18, 2021

Biden Administration Announces $197 Million Arms Deal with Egypt

Egyptian StreetsFebruary 17, 2021

KSA Issues Shock Decision With Potential Business Impact on Egypt and the Region

Amina ZaineldineFebruary 17, 2021

Egypt’s COVID-19 Deaths Pass 10,000 Mark

Egyptian StreetsFebruary 16, 2021