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FINANCIAL NEWS
Egypt paid back USD500m to Qatar
12 Oct 2014
(MENAFN) Egypt announced it has paid back USD500 million to Qatar and is planning to return the reminder of the money, worth at about USD2.5 billion, which the Gulf state deposited into the Egyptian central bank as a loan two years earlier, Gulf Business reported.
“Egypt has already transferred USD500 million to Qatar on Oct. 1 and will refund USD2.5 billion at the beginning of November, because Qatar did not ask for renewal,” Egypt’s Central bank said in a statement.
Despite the Gulf country depositing around USD7.5 billion in loans and grants to Egypt in the last two years, the current strained relationship between the two countries made Egypt decide to repay Qatar the money it gave in loans, thus If Egypt pays back the USD2.5 billion in addition to the USD500 million already paid, it will have returned all of Qatar’s deposits.
Egypt, which has been struggling in terms of its economy due to the country’s unstable political situation, has been relying on financial support from Saudi Arabia, the United Arab Emirates, and Kuwait.
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