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Egypt announces its readiness for a new plan with the International Monetary Fund

Egyptian Prime Minister Mostafa Madbouly said that discussions with the International Monetary Fund (IMF) have not stopped, and emphasized that the economic reform program is purely national.

He continued in a press conference, “There may be disagreement and controversy over the tactics that are being dealt with. Communication is ongoing, and we are in the process of working with the Fund to develop a time plan that will be announced soon.”

There are four priority sectors within the IPO program, he said, including airports, communications, banks, and insurance.

He assured that the state is determined to activate the state ownership policy and launch the IPO program.

The Egyptian state intends to exit completely or partially from many sectors in accordance with the state ownership policy document, he said, explaining that deals worth $5.6 billion have been completed through the total and partial exit of 14 companies.

Egypt’s Finance Ministry announced offering up 35 state-owned companies in 19 sectors on IPO from October 2023 to June 2024, with the eligible companies that will be offered having an estimated value of up to four billion dollars.

The golden license for investors helps shorten the procedures for establishing investment projects in the shortest possible time, the ministry said, in a manner that will contribute to creating a more stimulating environment for industry, production and export.

The International Monetary Fund back in October lowered its growth forecast for the Egyptian economy during the current fiscal year 2023-2024 to 3.6 percent, compared to its previous estimates of 4.1 percent.

The IMF announced at the time at the Moroccan capital, Marrakesh that the 2024 World Economic Outlook Report indicates an overall slowdown in global economic growth from 3.5 percent in 2022 to three percent in 2023 and 2.9 percent in 2024.

The report said that global growth expectations are still below the historical average of 3.8 percent in recorded the period in 2000-2019.

The IMF’s expectations for 2024 decreased by 0.1 percentage point from the July 2023 World Economic Outlook report.

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