Cairo, Egypt is a loan from the World Bank $ 2.2 billion, the Minister of Finance announced, as the military of the country said Monday the unrest of recent months leaders beat the rate of economic growth and are costing the nation of 40 million dollars a day in lost tourism revenues.
The Minister of finance Samir Radwan also said that a team of the Monetary Fund International was expected in Cairo within days to find ways to support the efforts of the Government to stimulate the economy. His comments came in a statement issued by the Ministry and did not clear when the agreement can be completed.
Separately, brigadier Mahmoud Nasr, Minister of defence Assistant for financial affairs, said the unrest has led to a drop of 80 per cent of revenues from tourism, a vital sector.
The figures revealed by the head of the Supreme Military Council Finance offers still another window in the Basinger suffered by the most populous nation in the Arab world following mass protests filed former President Hosni Mubarak.
These protests expanded after the eviction of Mubarak mid-February to include strikes widespread work led a strong reduction in manufacturing and exports so that foreign direct investment income and tourism collapsed. With the fall of incomes and costs mounting, the Egypt has tended to the World Bank and the IMF for assistance.
Comments by the agency MENA Nasr official press, said the GDP growth is about 1-2 per cent over the forecast pre-unrest about 6% for the fiscal year ending June 30. The projection is even lower than that offered by Radwan and other officials who had estimated GDP growth would slow to between 2 and 3% in the current financial year.
While the mass protests that toppled Mubarak have been largely fueled by a crescendo of frustration before prices increasing income disparity and the rise in arrow in a country where half the 80 million people live on or below $2 by the World Bank poverty daythe continuation of protests did exacerbate economic problems of the country.
Annual inflation of the urban in April rose to 12.1% compared to 11.5% in March, the Government said last week, citing a continued increase in food prices.
Economic problems have emerged for months.
As the events took place at the end of January, the stock market plunged - a decrease of Nasr said has led to losses of 113 billion pounds ($19 billion). The Exchange remained closed for almost two months that officials first faced with the closure of the Bank and strike in the sector, then sought to adopt safeguards to prevent its collapse, once it reopened.
The market, which reopened near the end of the month of March, has vacillated between moderate gains and losses. Monday, the benchmark index closed EGX30 1.2% higher, at 5,127 points, but its losses from the date of the year were still more than 28%.
The Government and military leaders have tried to revive the economy, but near daily protests have crimped these efforts and resulted in a 40% decline in exports and almost a reduction of half of the levels of production before the crisis of the nationofficials said.
Despite the losses, Nasr said that the army was "optimistic", noting that the problems had not affected economic infrastructure of the country and that the plants were not damaged. As a result, the challenges are "difficult but not impossible", he said.
The coming period is a time "action and production, pas words," Nasr was quoted saying, so that the Egypt can go beyond the current crisis.
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