The International Monetary Fund (IMF) has approved a $1.2 billion disbursement to Egypt following the completion of the fourth review of the country’s economic reform program. This decision underscores the IMF’s support for Egypt’s ongoing efforts to stabilize its economy and implement structural reforms.
Despite this financial support, Egyptians continue to face rising inflation, with recent increases in fuel prices and subway fares, coupled with a devaluation of the Egyptian pound. In response, the Egyptian government has announced an increase in the minimum monthly wage for public sector workers to 7,000 Egyptian pounds (approximately $138.50), effective from July 2025.
These measures are part of a broader initiative aimed at easing the economic pressures on citizens by combating inflation and enhancing social protection programs. The government is also exploring a shift from commodity subsidies to direct cash payments by July 2025, aiming to better target subsidies amidst growing poverty and inflation.
