IMF praises Egypt’s private sector resilience, exchange rate progress
Updated 10/6/2025 9:30:00 AM
Arab Finance: The International Monetary Fund (IMF) commended Egypt’s recent economic developments, noting the resilience of the private sector and improvements in exchange rate performance and inflation management.
In an interview with Al Arabiya Business, Former Egyptian Minister of Finance Mohamed Maait said Egypt’s commitments under its program with the IMF are based on three main pillars, monetary, fiscal, and structural reforms, adding that implementation is proceeding in a balanced manner.
Maait, the Executive Director and member of the IMF's Board of Executive Directors, representing the Arab Group and the Maldives, noted that monetary policy reforms are making progress, while public finance reforms are achieving positive results.
He added that structural reforms aim to maintain fiscal and monetary stability and strengthen the economy’s ability to withstand future challenges.
He explained that the government’s initial public offering (IPO) program is a key element of the structural reform agenda, given its role in improving the investment climate and increasing the private sector’s contribution to the economy.
Discussions between the Egyptian authorities and the IMF are continuing regarding the IPO program and measures to expand private sector participation in economic activity.
Maait said the government’s focus in the coming phase is to support sustainable growth and job creation.
He added that delays in implementing certain reforms are not expected to have a significant impact as long as the overall program remains on track.
According to Maait, the IMF considers Egypt’s private sector to be more resilient to economic shocks due to advances in digital transformation and technology.
He added that the Fund noted recent developments in the exchange rate and inflation indicators.
The IMF said the timing of the next reviews of Egypt’s program is still under discussion with the government. It stated that as macroeconomic stability continues to improve, further reforms are needed to realize Egypt’s growth potential.
The Fund added that the continuation of program reviews will depend on progress in specific areas, particularly the state ownership policy and the divestment of public assets.
Prime Minister Mostafa Madbouly had earlier said that some of the targets agreed upon with the IMF may not be fully achieved due to exceptional circumstances, noting that these matters remain under discussion with the fund.
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