The International Monetary Fund has decided to combine the fifth and sixth reviews of Egypt’s USD 8 bn Extended Fund Facility Arrangement, IMF Communications Director Julie Kozack confirmed in a press briefing on Thursday following earlier unconfirmed reports.

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A combined review also means a delayed review, which the Fund now expects to take place in the fall — along with the USD 1.3 bn tranche that the government had been expecting to land in state coffers this month.

“More time is needed” to make progress on the state withdrawing itself from the economy and the broader reform agenda, Kozack said. Although “Egypt continues to make progress under its macroeconomic reform program,” more needs to be done to enable the “private sector to drive stronger and more sustainable growth” and “advancing the state ownership policy and asset [divestment] program.”

The size of the combined tranche is TBD. “It would be premature for me to speculate at this stage” on the size of the combined tranche as the country’s financing need to be assessed in ongoing discussions, said Kozack

The first review of the USD 1.3 bnResilience and Sustainability Facility will also take place alongside the sixth review, according to Kozack. The climate-focused fund has already been approved on schedule.

The international press also took note of the announcement: Reuters.

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