World Economy

$10b (P)GCC Tranche Will Boost Egypt Economy

$10b (P)GCC Tranche Will Boost Egypt Economy$10b (P)GCC Tranche Will Boost Egypt Economy

Egypt’s allies in the Persian Gulf have reinforced their support for President Abdul Fattah Al Sissi’s government with a new commitment to deposit $10 billion (Dh36.78 billion) in Egypt, giving its economy valuable liquidity as it prepares for an important investor summit next month.

In 2013, the UAE, Saudi Arabia and Kuwait had put more than $12 billion into Egypt in the immediate aftermath of Al Sissi’s accession to office.

“This new tranche is a clear indication of the strength of the Persian Gulf states’ support for the new Egyptian government as Al Sissi re-imposes normal government and social stability after the turmoil of the revolution of 2011, followed by the chaos of president Mohammad Mursi’s time in power,” WAM reported Friday.

It added that Egypt is a central part of the Arab world and historically it has played a crucial part in defining Arab politics. “Therefore, at a time of great chaos with Syria and Iraq going up in flames and Libya split in two the Persian Gulf countries wants to help Al Sissi re-develop Egypt’s natural stature in the region”, it said.

Al Sissi’s government has developed $20 billion worth of 30 large projects for which he is seeking investment. Many of these are in the private sector.