UAE to provide Egypt with petroleum products
The deal is worth around $8.7bn, Reuters has reported
The UAE is to provide Egypt with petroleum products worth $8.7bn, Reuters report.
Some of the petroleum products will be provided in the form of grants over a year starting this month.
The remainder will come as a credit agreement that will be repaid in instalments according to an Egyptian official.
“We will complete all the details this week and the first shipment will be sent next week,” an official was quoted as saying by the news agency.
Three of the region’s main oil and gas producers, UAE, Saudi Arabia and Kuwait, have together provided Egypt with more than $20 billion in grants, loans and petroleum products over the last year, said the report.
“Egypt imports petroleum products worth around $1bn to $1.3bn a month,” the official added.
The total amount of fuel subsidies provided to Egypt so far have been estimated at around $15bn – one fifth of the country’s state budget.