CAIRO: Egypt is currently discussing a potential $5 billion financial package with Saudi Arabia and the United Arab Emirates. The deal would help the North African country meet its budgetary demands in light of the continuing economic downturn in Egypt following the January uprising that ousted its former government. Egypt's Finance Minister Hazem el-Beblawi told reporters in Cairo on Monday that the country was looking for “all sorts of cooperation” with the International Monetary Fund, which offered a $3 billion financing package earlier this year that Egypt then turned down in June. The IMF package was negotiated and turned down before Beblawi was in office. The government at the time said it would look for other sources of funding. New minister Beblawi said: “We are open for all sorts of cooperation that will include everything … We are considering the whole thing according to the needs of the country,” he said before talks to be held during IMF and World Bank meetings in Washington this month. “I don't want to give the impression that I am going to negotiate for a loan, but I am going with an open mind,” the finance minister said. Egypt said budget deficits for the current fiscal year ending June 2012 could be as high as 9 percent of gross domestic product. Reuters news agency reported it had been forecast at 11 percent before it was revised down. Economists say the lower forecast may be optimistic. BM
