The International Monetary Fund said that the unification of the exchange rate since March has eliminated the accumulation of demand for foreign exchange and eased imports. The central bank affirmed its commitment to maintaining a flexible exchange rate system to protect the economy from external shocks. In addition, tightening monetary policy has significantly helped contain inflationary pressures. Although progress may be temporarily constrained by increases in administrative rates and in the future, the focus must remain on ensuring that inflation continues on a steady downward trend towards the medium-term target.
The International Monetary Fund explained that continued fiscal discipline contributes to reducing the vulnerabilities associated with public sector debt. At the same time, it was agreed with the Egyptian government, that more efforts will be needed to mobilize domestic revenues and contain financial risks (especially those resulting from the public sector). energy), and expanding the social safety net.
The IMF mission headed by Ivana Vladkova Hollar held personal discussions with the authorities during the period from November 6 to 20 in Cairo.
