As Gulf aid dries up, Egypt struggles
The government’s task of reducing the deficit and turning the Egyptian economy around has grown more difficult with the predicted decline in Gulf aid.
The regime of President Abdel Fattah al-Sisi is trying to unravel the economic crisis that has gripped Egypt since the overthrow of former President Mohammed Morsi in June 2013. Complicating matters, aid from the Gulf states has become less reliable than many had hoped.
It started with the Kingdom of Saudi Arabia, which announced an aid package as soon as Morsi was isolated on July 3, 2013. The Saudis offered Egypt $5 billion divided between a bank deposit of $2 billion, large quantities of oil products worth $2 billion and $1 billion in cash.
