Saudi Arabia has deposited five billion dollars in the Egyptian Central Bank, and the two countries have signed a draft agreement for investments amounting to 10 billion dollars, official sources reported on Wednesday. These announcements come while Egypt is in the process of adopting a series of financial measures, made necessary in part by the economic consequences of the Russian invasion of Ukraine in February.
At the request of King Salman and Crown Prince Mohammed bin Salman, Saudi Arabia “has deposited 5 billion dollars (4.5 billion euros) in the Central Bank of Egypt”, reported the official Saudi agency. SPA. The agency highlighted the “close historical ties” between the two countries and the kingdom’s “constant support” towards Egypt. It is the second such deposit in five months, with Riyadh announcing in November a deposit of $3 billion (regarding 2.5 million euros) to the Egyptian Central Bank, according to SPA.
Separately, according to a statement from the Egyptian government, Egypt and Saudi Arabia have signed a draft agreement to develop Saudi investments in the North African country, for an expected amount of 10 billion dollars ( 9 billion euros). As the world’s largest wheat importer, Egypt depended on Russia and Ukraine for 85% of its supply, as well as 73% of sunflower oil imports.
Following a rise in food prices, inflation hit 10% in February, the first in three years. On March 21, the Egyptian pound lost almost 17% of its value in one day while the country’s budget of around 160 billion dollars is burdened by a public debt which reaches 90% of the GDP. On Tuesday, Qatar announced a $5 billion investment in Egypt, following a visit to Cairo by Qatari finance and foreign ministers.
Saudi Arabia has deposited five billion dollars in the Egyptian Central Bank, and the two countries have signed a draft agreement for investments amounting to 10 billion dollars, official sources reported on Wednesday. These announcements come as Egypt is in the process of adopting a series of financial measures, made necessary in part by…
