International Monetary Fund (IMF) chief Christine Lagarde said Thursday (October 27th) that Egypt is going through a currency "crisis", suggesting a quick devaluation to tackle a widening gap between the official and black market rates, AFP reported.
Egypt has been struggling to shore up its foreign currency reserves in the political and economic turmoil following the January 2011 uprising that toppled former ruler Hosni Mubarak.
The government of President Abdel Fattah al-Sisi is rolling out an austerity programme and is seeking billions in support from abroad in order to meet conditions for a $12 billion loan from the IMF and boost investor confidence.
The country's foreign currency reserves stood at $19.6 billion in September, an increase from previous years but less than 50% of the level in early 2011.
Lagarde applauded the planned reforms, including the austerity programme, saying the IMF was ready to support the government if it takes the measures needed to meet the loan conditions.
