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Egypt requests World Bank loan

Feb 03 2012 11:41 Reuters

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Washington - The World Bank said on Thursday that Egypt has asked for a $1bn loan and it will launch talks with government representatives to iron out the details.

"The World Bank has received an official request from the Egyptian authorities to support their economic program," Inger Andersen, World Bank vice president for the Middle East and North Africa, said.

Egypt said last month it would seek a $500m loan from the World Bank and another $500m from the African Development Bank to help it plug a budget gap widened by a year of political and economic turmoil.

World Bank President Robert Zoellick announced last year that the development lender would make $4.5bn available over 24 months for Egypt.

Egypt is also in talks with the International Monetary Fund on a possible $3.2bn loan to help stabilise its economy.

The fund has said any agreement would need broad political support as the country prepares for elections, in which Egypt's ruling army would transfer power to civilians.

 
 
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