Egypt shares jump after IMF agreement announced

Map of Egypt. Selective Focus.

Egyptian shares jumped on Sunday after the International Monetary Fund (IMF) announced on Friday it had reached a staff-level agreement with Egypt for a one-year, $5.2 billion standby loan to help it grapple with the coronavirus pandemic.

The benchmark EGX30 index was up 3.7% in early trade. The index has fallen 18.8% this year, mainly due to the pandemic’s effect on the economy, including a shutdown of the tourism industry.

The agreement, which must be finalised by the IMF’s executive board, would safeguard economic gains achieved by Egypt over the past three years and put the country on a strong footing for a sustained recovery, the IMF said.