Tuesday, November 20, 2012

Egypt agrees deal for $4.8 billion IMF loan

Egypt reached a preliminary agreement on Tuesday with the International Monetary Fund for a $4.8 billion loan, a step seen as vital to shoring up the nation's finances.

Investors who abandoned Egypt during the political turmoil that followed the overthrow of Hosni Mubarak last year have been looking to the IMF to give its seal of approval to the government's economic program.

Egypt's benchmark index .EGX30 pared losses on the news and the cost of insuring Egyptian debt against default fell.