Egypt: IMF still the best option, but a deal seems unlikely for now

Reports in the Egyptian media that the government is set to open discussions on a $6bn financing package with the IMF are likely to prove premature. For now, the authorities seem content to undertake reforms at their own pace while relying on financial handouts from the Gulf countries. But, eventually, Egypt will need to place its external position on a more sustainable footing and we still think an IMF programme would be the best path for the country to take.