BRUSSELS (WAM)
The EU will provide 1 billion euros of urgent short-term macro-financial assistance to Egypt to help stabilise its economy, according to Europa, the official web portal of the European Union (EU).
The aid is meant to address the deteriorating macro-fiscal situation and financing needs of the country over the recent months, notably after the latest developments in the Gaza Strip, the Red Sea and Ukraine.
The 1 billion euros of short term assistance is part of a package of two proposals to provide macro-financial assistance to Egypt.
The second part of the operation, still to be adopted, would provide 4 billion euros over the period 2024-2027.
The overall macro-financial assistance accompanies a revamped support programme concluded with the International Monetary Fund (IMF), of up to 8 billion euros, which will be made available provided several conditions are met.
The macro-financial assistance will be provided in the form of loans made available in one instalment. A precondition for granting the assistance is that Egypt continues to make concrete and credible steps towards respecting effective democratic mechanisms (including a multi-party parliamentary system) and the rule of law and guaranteeing respect for human rights.