The announcement follows Moody's positive revision of Egypt's outlook from negative to positive. Maait believes that this shift in outlook reflects the confidence in Egypt's macroeconomic management during a challenging period and the effectiveness of the policies implemented to withstand various shocks over the past years. The positive outlook is attributed to key economic policy shifts, including currency devaluation and interest rate increases. If sustained, this is anticipated to support macroeconomic rebalancing, enhance the resilience of Egypt's economy to shocks, and assist in sustaining an expanded International Monetary Fund (IMF) program. While the report acknowledges Egypt's high debt ratio and weak debt affordability compared to peers, it anticipates gradual improvement over time, reducing fiscal accounts' vulnerability to shocks.

Source: Egypt Today March 09, 2024 05:03 UTC