Egypt balances rising energy costs with plans to cut external debt by up to $2B annually - Egypt Today

Egypt balances rising energy costs with plans to cut external debt by up to $2B annually - Egypt Today

Source: Egypt Today

DW NOTE

Egypt plans to cut external debt by $2 billion annually while energy costs climb — that's liquidating the furniture to pay the gas bill. The country imports most of its fuel, so with WTI up 9.5% this week and the Hormuz blockage entering month seven, Cairo's energy import bill is rising faster than any plausible pace of debt reduction. Announcing austerity targets during a supply shock is the fiscal equivalent of setting a savings goal while your house is on fire.

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