DHAKA: The International Monetary Fund (IMF) has approved a three-year $12bn loan for Egypt to help the country out of its deep economic crisis.

Egypt will receive $2.75bn immediately, with the rest subject to its economic performance and further reforms, reports the BBC.

IMF Managing Director Christine Lagarde said the bailout would “address longstanding challenges”.

Egypt’s President Abdul Fattah al-Sisi is facing high unemployment and a budget deficit of 12 percent of GDP.

The country has struggled to attract foreign investment since the political turmoil in 2011 and the so-called Arab Spring, which saw former president Hosni Mubarak overthrown.

Tourism - traditionally a leading source of income for Egypt - has declined sharply over the past five years.

Last week Egypt floated its currency in a move that reduced its value by almost 50 percent against the dollar in an attempt to strengthen confidence in the economy.

BDST: 1016 HRS, NOV 12, 2016
SR