Looting the Egyptian Currency: Democracy in Action
Al Ahram adds that it will be hard for Egypt to obtain foreign aid under the circumstances:
Depleted reserves and the outflow of investments can only be compensated by international aid. Egypt turned down the offer of a $3.2 billion financing facility from the International Monetary Fund (IMF) this summer, in a move that the then Minister of Finance Samir Radwan attributed to Egypt's ruling military's reservations about increasing foreign debt.
Hazem El-Beblawi, minister of finance in the now resigned cabinet, said last week that the country is reconsidering taking the loan. But CI Capital's Mansour ruled out this possibility: "The IMF loan to Egypt may be muted on the back of such unrest and the reshuffling of the government -- which will further undermine investors' confidence."
Cairo has so far received in-principle offers of aid totalling well over $10 billion from Qatar, Saudi Arabia and the United Arab Emirates. However, it did not get even half this sum so far in what analysts attribute to reservations many Gulf countries hold against the fact that former ally Mubarak is facing trial.
The Obama administration, the mainstream media, and the liberal punditeska sit insensate before this hideous spectacle like children at a matinee of "Peter Pan," hoping that Tinkerbell will come back to life. "If you believe in the Arab Spring, clap your hands!"
Article printed from Spengler: https://pjmedia.com/spengler
URL to article: https://pjmedia.com/spengler/2011/11/25/looting-the-egyptian-currency-democracy-in-action