Moody’s Investors Services has maintained its review for downgrade of for Egypt’s B3 long-term foreign-currency and local-currency issuer ratings, according to a recent statement. The ratings were extended from the review for downgrade on May 9th to focus on the proceeds from the recently closed asset sales to boost foreign currency liquidity and the monetary system’s net foreign asset position, foreign direct investment (FDI) inflows, and the exchange rate, as per the agency. This would hinder achieving the goal of sustainably reviving the economy's foreign exchange liquidity buffers prior to the increase in debt service payments in fiscal years (FYs) 2023/2024 and 2024/2025, the agency stated. On the other hand, the agency expects more economic progress, paving the way for the International Monetary Fund (IMF) to conduct its delayed first and second reviews of the financing program performance for Egypt. Copyright © 2022 Arab Finance Brokerage Company All rights reserved.

Source: The North Africa Journal August 13, 2023 06:55 UTC