Unemployment up EGYPT's unemployment rate reached 12.4 per cent in the fourth quarter of 2011, compared to 11.9 per cent during the previous quarter. According to the Central Agency for Public Mobilisation and Statistics (CAPMAS), 2.22 million individuals were jobless during that time, a five per cent increase on the previous quarter. Unemployment was higher in urban areas, reaching 16.4 per cent compared to 16.1 per cent the previous quarter. In rural areas, unemployment totalled 9.3 per cent, compared to 8.6 per cent during the third quarter. According to CAPMAS, the number of newly unemployed people reached 26.2 per cent, compared to 12.5 per cent during the fourth quarter of the previous year. CAPMAS said 36 per cent of the unemployed held university degrees. CI Capital Research expects the unemployment rate to remain high "given the current instability and the drop in investments". However, it also pointed out that the number could have been much higher were it not for a large informal sector. IMF loan on track AN INTERNATIONAL Monetary Fund (IMF) delegation is scheduled to visit Egypt next month to sign a memorandum of understanding with the Egyptian government regarding a $3.2 billion loan, Egypt's Minister of Finance Momtaz El-Said said. The loan will be disbursed over three phases. One third will be handed over upon inking the agreement, a second tranche after three months and a third tranche within six months. Egypt is to receive the loan at an interest rate of 1.2 per cent. It will be used to support the 2012/13 budget. The loan will be repaid over five years after a grace period of 39 months. Digging for energy EGYPT's Minister of Petroleum Abdallah Ghorab said local oil production efforts have been significantly increased in a bid to match growing demand. The need for more oil has resulted from population growth and higher income levels. "We live in a world that consumes nearly 2,900 barrels of oil every second, and global demand for oil and gas is expected to increase by one third in the next 20 years," Ghorab said. The minister made these declarations during a three-day North Africa Technical Conference and Exhibition (NATC), organised by the Society of Petroleum Engineers (SPE). Ghorab added that foreign investments in Egyptian exploration totalled $8 billion in 2011. An international bid was recently announced for exploration in more areas. "There are still many areas to be explored, especially in deep sea waters," Ghorab noted. According to the minister, Egypt currently produces 95 per cent of its oil needs. He also pointed out that the American Geological Institute confirmed huge oil reserves on Egyptian land. "The conference is a good opportunity for industry leaders to share their views for developing the industry, while increasing oil and gas production in the region," said SPE President Alain Labastie. He added that oil reserves can cover 100 years of demand, but need advanced technologies and huge investments. NATC featured an exhibition of more than 25 companies showcasing the latest technological advances in the field of exploration and production.
