Sisi Calls for Review of IMF Program Amid Difficult Circumstances
It appears that the Egyptian government is seeking to find a delicate balance between adhering to IMF conditions and easing the burden on citizens, which may lead to adjustments in the course of econo
October 20, 2024, 10:07 pm

Sisi Calls for Review of IMF Program Amid Difficult Circumstances

السيسي \ تعبيرية \ متداولة

Egyptian President Abdel Fattah el-Sisi made interesting statements about the current program with the International Monetary Fund (IMF), emphasizing the need to consider the difficult circumstances negatively affecting economies worldwide. Sisi stressed the importance of reviewing the agreement with the Fund if it would put citizens in an unbearable situation.

These statements come in the wake of the Egyptian Petroleum Ministry's decision to raise prices for a wide range of fuel products for the third time this year, by percentages ranging between 7 and 17%, which has sparked widespread controversy about its impact on Egyptians' daily lives.

In a related context, Sisi revealed that Egypt has lost about 7 billion dollars in Suez Canal revenues over 10 months, warning of the possibility of the crisis extending for an additional year. He also confirmed the country's need to provide one million jobs annually to face the influx of new graduates into the job market.

For his part, Prime Minister Mostafa Madbouly stated that the government takes into account low-income individuals in all procedures, confirming the continuation of support for this category. He indicated that future fuel increases would be less than previously planned, with any new increases postponed for 6 months.

In an analysis of the economic situation, Ali Metwally, an economic consultant, explained that reducing subsidies in Egypt is one of the IMF's conditions, and he expected the inflation rate to reach 25% by the end of 2024, with the possibility of it decreasing to 13% by the end of 2025.

It's worth noting that Egypt signed an agreement with the IMF in March 2024 to obtain a loan of 8 billion dollars, accompanied by economic measures including liberalizing the exchange rate of the Egyptian pound.

Amid these developments, Madbouly confirmed that his use of the term "war economy" does not mean Egypt entering a war, but rather refers to directing state resources to secure basic needs for citizens and defend the homeland in case of a direct threat.

These statements and measures reflect complex challenges facing the Egyptian government in balancing the requirements of economic reform with increasing social pressures, in light of volatile regional and global circumstances.

Levant-Agencies

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BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).

Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.