That’s a wrap on the fourth review: The IMF Executive Board has completed the fourth review of Egypt’s USD 8 bn loan program, allowing for the disbursement of USD 1.2 bn — the biggest tranche of the program so far — Finance Minister Ahmed Kouchouk said during the annual ministry Iftar yesterday. We are still waiting on the IMF to release its statement.

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REMEMBER- Egypt and the IMF reached a staff-level agreement on the fourth review in December. The two sides agreed “to recalibrate the fiscal consolidation path to create fiscal space for critical social programs benefiting vulnerable groups and the middle class, while ensuring debt sustainability.”

Expect the funds to land in state coffers within days, IMF executive director and former finance minister Mohamed Maait told Hapi Journal.

That’s not all: The Board also approved the USD 1.3 bn in funds under the Resilience and Sustainability Facility, Maait said. The additional climate financing will be disbursed in tranches rather than a lump sum, IMF Communications Director Julie Kozack previously said. The timeline of when we’ll get the first of the funds is yet to be determined, Maait said.

ALSO FROM KOUCHOUK-

More on the state budget for next fiscal year: The government will triple allocations for economic support in next fiscal year’s budget, including the funds going towards the export subsidy program and the Automotive Industry Development Program, the finance minister said. We got our first look at next year’s budget last month.

AND- The second phase of the tax reforms will be rolled out next year, he added.The first phase of the reforms was introduced in October and includes a simplified tax system for SMEs, a central clearing system, and measures to integrate the informal economy.

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