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FINANCIAL NEWS
UAE provides USD8.7b worth petroleum products to Egypt
01 Sep 2014
(MENAFN) The UAE is set to provide Egypt with USD8.7 billion worth of petroleum products over a year period starting this September, Gulf News reported.
Egypt has been struggling to fix its increasing budget deficit and meet the soaring energy demands, which have resulted in daily cuts in electricity around the country.
Fuel and its subsidies have cost Egypt’s government around USD15 billion a year, a fifth of the country’s budget, causing the UAE, Saudi Arabia and Kuwait to provide the country with more than USD20 billion in grants, loans and petroleum products since last year.
The agreement between the two countries states that some of the petroleum products would be given as grants and the remainder under a credit agreement that would be repaid in payments over a period of time.
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