This article originally appeared on her blog Democracy in Development, July 3, 2012
Recently, I spoke with American Public Media’s Marketplace Morning Report about Egypt’s economic challenges. For the past year, Egypt has been staying afloat by drawing down its foreign currency reserves; promises of international loans have largely failed to materialize; instability has led to sharp declines in foreign direct investment and tourism, an important source of employment and hard currency. However, Mohamed Morsi’s recent election means that Egypt can begin making more headway on its economic challenges as greater political certainty should open Egypt up to investment, donor funds, and tourism. In particular, the International Monetary Fund (IMF) seems likely to extend a $3.2 billion loan to Egypt after months of discussion—a loan that Egypt desperately needs. To hear more of my take on the current state of Egypt’s economy, you can listen to my interview on Marketplace Morning Report here.