Attention Economy


Thursday, February 16, 2023

The Return of IMF Conditionalities – The Case of Egypt

After months of punishing inflation and a plummeting currency, Egyptians are growing louder about the crisis. In exchange for a bailout, the I.M.F. is imposing stern conditions on the government.
https://www.nytimes.com/2023/01/23/world/middleeast/egypt-economy.html
Egypt had long used dollars to prop up its currency, the pound, to maintain Egyptians’ ability to buy imported goods. The I.M.F. has forced it to let the pound’s value slide and fluctuate without interference.
In a demand that strikes at the heart of Egypt’s power structure, the I.M.F. is also requiring Egypt to sell off some state-owned companies to raise money and to strip military-owned companies of tax breaks and other privileges, allowing private businesses to compete. 

Related:
When the IMF comes to town: why they visit and what to watch out for
https://theconversation.com/when-the-imf-comes-to-town-why-they-visit-and-what-to-watch-out-for-188302