Back to the complete issue
Monday, 8 August 2016

The IMF loan, the string of The Economist articles, and talk of UK granting asylum to senior MB members

Domestic columnists are offering boilerplate coverage of President Abdel Fattah El Sisi’s weekend speech on the economy alongside eulogies for Ahmed Zewail and the IMF loan. Oh, and surprising nobody: They don’t like the notion of “selling” citizenship to investors. Told you, folks. Beer. Snowmen. Salafis. Western Desert…

Ziad Bahaa El Din offers standard fare on the IMF loan in Al Shorouk, noting that while Egypt may have no choice but to seek the funding, it should consider four steps as part of its economic reform programme: Determining the state’s role in the national economy, reconsider taxation, reevaluate state spending priorities, and ensure there’s parliamentary oversight of international financial agreements.

The Al Masry Al Youm columnist who writes under the pseudonym Newton tackles The Economist’s recent savaging of Egypt. While he usually holds The Economist in high regard,he says the pieces ignore including political turmoil in Sinai, the nation’s resort to the IMF, and President Abdel Fattah El Sisi announcing difficult economic reforms. He says that, just as Europe did after the Second World War, Egypt can handle the tough times and muddle through.

Al Nour is still around, and it’s not down with the IMF: “If they lend us everything in the coffers of int’l organisations, it would be swallowed by corruption,” said Younes Makhioun, leader of the Al-Nour Party who posted his take concerning the IMF loan on his Facebook page. “A government that led us to this crisis and failed to manage the majority of [critical] files is not one that can effectively manage this loan,” and goes on to doubt that “[it would] benefit the average, struggling Egyptian.” Makhioun says taking on the loan contradicts the “correct” teachings of Islam, and is considered usury.

Amr El Shobaky’s says the recent talk of granting Egyptian citizenship in exchange for a “bank deposit” is deeply “insulting,” in Al Masry Al Youm. He says it disregards how the process is done anywhere else in the world. Clearly, Mr. El Shobaky’s isn’t an Enterprise reader, or he’d know better.

Meanwhile, Salah Montaser writes for Al Ahram that the recent attempt to assassinate former Grand Mufti Ali Gomaa’s life is backlash against a military operation that killed the head of Daesh in Sinai Province Abu Duaa Al Ansari, along with at least 45 other jihadists in a “preemptive strike” on Daesh ammunition depots in Sinai. Al Kahera Wel Nas’ and El Watan’s Osama Kamal criticized British Ambassador John Casson’s congratulating Gomaa for surviving the attack, contrasting them with the UK Home Office’s announcement of guidance for conditions under which Ikhwan leaders can be granted asylum, as we reported yesterday. Kamal stresses he doesn’t oppose the UK, but believes granting Ikhwan members asylum, despite the clear conditionality, is poor policy.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of HSBC Egypt (tax ID: 204-901-715), the leading corporate and retail lender in Egypt; EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Mashreq (tax ID: 204-898-862), the MENA region’s leading homegrown personal and digital bank; Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt; Hassan Allam Properties (tax ID:  553-096-567), one of Egypt’s most prominent and leading builders; and Saleh, Barsoum & Abdel Aziz (tax ID: 220-002-827), the leading audit, tax and accounting firm in Egypt.