IMF to Increase Egypt's Bailout to $8 Billion Amid Economic Crisis The International Monetary Fund has agreed to boost Egypt's bailout package to $8 billion, up from the initial $3 billion, due to the country's severe economic crisis worsened by the conflict in Gaza and Ukraine. The funds will aid in stabilizing Egypt's economy, which has been hit hard by a decline in tourism and disruptions to the Suez Canal. Additionally, Egypt secured a $35 billion deal with the UAE for developments along its Mediterranean coast. To combat soaring inflation, Egypt's Central Bank devalued the currency and raised interest rates. The government and IMF have aligned on reform targets, aiming to bolster foreign currency reserves, reduce debt, and attract foreign investments. The IMF will also prioritize social protection measures for vulnerable groups affected by the reforms. Egypt's economy has been struggling for stability, with experts attributing vulnerabilities to mismanagement and external shocks, including the COVID-19 pandemic and conflicts in Gaza and Ukraine. President el-Sisi's policies have faced criticism for overspending on megaprojects and weakening the economy. Some experts believe that the IMF's previous decisions overlooked underlying weaknesses in Egypt's economy.