DHAKA: Egypt has returned to Qatar $2 billion that the Gulf state had deposited with Egypt’s central bank, after negotiations to convert the funds into three-year bonds broke down.

Egypt’s central bank Governor Hisham Ramez said on Thursday, reports The Jerusalem Post.

Qatar had sent Egypt $3 billion in May, of which it converted $1 billion into three-year bonds.

Cairo’s relations with Qatar deteriorated after the Egyptian army deposed president Mohamed Mursi on July 3.

Qatar had been a firm backer of Mursi’s Muslim Brotherhood and lent or gave Egypt $7.5 billion during the year he was in power.

BDST: 2011 HRS, SEPT 19, 2013
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