Egypt plans to pay back around $720 million to the Paris Club of creditor countries this month, the central bank announced Monday. As pursuant to an agreement between the Egyptian government and the Paris Club several years ago, Egypt pays a total of $700 million installment of its foreign debts to the economic club in January and July. The Paris Club is comprised of 19 creditors selected by the International Monetary Fund, aimed at finding coordinated and sustainable solutions to the payment difficulties experienced by debtor countries. Years of political turmoil following a 2011 uprising has shattered Egypt's economy and hurt state finances, leading to delays in some debt payments including those owed to oil and gas companies. Egypt's external debt has reached $55.7 billion at the end of the fourth quarter, compared to $53.4 billion at the end of third quarter.
