Egypt Watch

IBRD conditions keeping bread subsidies to allow a $500 million loan to Egypt

The International Bank for Reconstruction and Development has said that it requires the Egyptian government not to make any changes to the subsidized bread system to grant the country a $500 million loan. Negotiations between the IBRD, the Ministry of Agriculture and the Ministry of Supply and Foreign Trade regarding a loan to support wheat began in March.

According to Minister of Supply and Foreign Trade Ali Moselhi, the loan, which aims to enhance Egypt’s resilience to food crises, has a significant grace period. Among the objectives of the loan is the purchase of wheat, the construction of new silos, and the improvement of wheat production.