على خطى الأرجنتين.. مصر نحو مزيد من الاقتراض من صندوق النقد الدولي
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00:00 The International Monetary Fund is visiting Egypt in an attempt to expand a loan or a
00:07 amount of money that it had submitted to Egypt at the end of 2022, on request of the Egyptian
00:14 government.
00:15 It requests the expansion of this loan.
00:17 Let's take a look at what will be the role of these ongoing investigations over the
00:23 next few weeks, in the hope that the government will increase the amount of money that it
00:30 had submitted in November 2022, to the amount of $3 billion.
00:35 It was divided into 6 sections, which the Egyptian government obtained on one sheet,
00:41 but the other 2 sheets were delayed.
00:45 The other 2 were decided in 2023, as a result of the non-compliance with some of the
00:54 conditions that the International Monetary Fund had agreed on, regarding the agreement
01:00 with Egypt, regarding the exchange rate, inflation and others.
01:05 After this delay, and in spite of the heated issues in the Middle East, whether the war
01:11 in Gaza or the conflict in the Red Sea, there were requests from the Egyptian government
01:17 and even a request from the International Monetary Fund to increase the amount of money
01:21 that was requested from the government.
01:23 There are negotiations that will begin, or have already begun, to increase the amount
01:27 of money.
01:28 The Modes Foundation expects that the amount of money will reach about $10 billion,
01:32 out of the $3 billion that had been agreed on previously.
01:37 The spokesperson for the International Monetary Fund says that there are strong
01:42 negotiations with the Egyptian authorities, and said that the additional funding will
01:46 be decisive for the success guarantee of the program.
01:50 The program that the International Monetary Fund focuses on, regarding the Egyptian economy,
01:54 is dealing with the exchange rate, as well as the high inflation rates, which were
01:59 approaching 40% last year, the exchange rate crisis, is still strong in the Egyptian
02:06 market.
02:07 The inflation rates in the Egyptian market are increasing, to reach the level of $60
02:12 per dollar, and perhaps more than that.
02:15 In comparison to the official price, which the government holds at $31 per dollar.
02:20 The government is entitled to pay about $42.3 billion as a debt, in 2024, which is a large
02:32 amount, compared to the total amount of debt, for the Egyptian government, the foreign
02:38 debt, of course.
02:40 This comes under a lot of pressure.
02:42 First, the withdrawal of the Suez Canal, which is an important source of dollar income.
02:47 40% withdrawal since the beginning of January of 2024, on an annual basis, of course, as
02:52 a result of the transfer of the ships from the Suez Canal to the Regency Road, behind
02:58 the wreckage of the Red Sea.
03:00 Also, the transfer of the Egyptians abroad, a 30% decline in the first quarter of 2023-2024,
03:06 of course, due to the difference in the exchange rate that we are witnessing.
03:10 Egypt is not the largest city in the IMF, but it is in the second place, after Argentina,
03:16 which is facing economic problems, a huge increase in inflation, compared to Argentina,
03:22 which is at 2% in December of 2023.
03:28 The exchange rate was also decreased by more than 50% by Argentina, to reach 815 pesos
03:34 per dollar, and in the Moazi market, more than 1000 pesos per dollar.
03:38 Let's look at the total debt of the IMF, both at the Argentine level, $44 billion, Egypt
03:44 $21 billion, and Egypt had received a number of facilities and funds during the pandemic
03:50 in 2016, in addition to the coronavirus pandemic, with financing and facilities, to continue
03:56 this phase.
03:58 The total foreign debt of Argentina and Egypt is $400 billion, and in Egypt, at the end
04:04 of last June, according to the Central Bank, $164.7 billion.
04:10 What is the IMF's worth during this year, from the two countries?
04:16 Argentina is required to pay $5.7 billion, while Egypt has $4.9 billion worth of
04:22 IMF in 2024.
04:24 This high inflation, as well as the clear exchange rate differences, will pay many
04:30 investors to trade through assets, specifically, stocks.
04:34 If we look at Argentina, we will see indicators at the highest levels, and the most
04:40 significant is the stock market, which is the largest in the world.
04:46 In Egypt, the stock market is at 27,000 points, and this is a great achievement for
04:52 investors to buy stocks in different stocks of the two countries.
04:56 So, despite Egypt's efforts in the coming period to increase the loan from the IMF
05:02 to $10 billion, according to the Central Bank, the IMF will continue to pay $4.7 billion
05:08 to $10 billion, according to the IMF.
05:10 Economic crises will continue in the second largest city in the IMF.
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