Kuwait set to deposit $2bn in aid to Egypt ‘within a week’

Egypt expects to receive a five-year deposit worth $2bn from Kuwait “within a week”. (File photo: Reuters)

Kuwait is set to deposit aid worth $2 billion in Egypt’s Central Bank within the coming week, the bank’s governor told Al Arabiya.

Hisham Ramez, governor of Egypt’s Central Bank, said the money would stay in the bank for five years.

The Gulf state will provide an additional $1bn grant, but that would be decided on with the Egyptian government, Ramez added.

Kuwait previously announced it was going to provide $4bn in aid to Egypt following the ousting of former Egyptian President Mohammad Mursi. That package is said to comprise the $2bn central bank deposit and $1bn grant, along with $1bn in oil products.

Fellow Gulf countries such as Saudi Arabia and the UAE pledged similar aid packages after the Egyptian army overthrew the country’s Islamist president.

Ramez claimed during an interview with Al Arabiya that Egypt could not make use of Qatar’s $2bn deposit set to be turned into bonds in the near future, because “it was a short-term deposit.”

He added that, despite the tense situation seen in Egypt over the past months, the banking sector was looking healthy and strong in terms of available capital and liquidity.

Last Update: Wednesday, 20 May 2020 KSA 09:41 - GMT 06:41