The Planning and International Cooperation Ministry is holding negotiations with creditor countries to delay an external debt payment of US$1 billion that was due at the end of November, an anonymous government official said.

The step aims to maintain the foreign reserves so they would not be reduced to $15.5 billion before Egypt obtains an International Monetary Fund loan expected to be finalized on 19 December.

A senior bank official denied that Egypt failed to repay any part of its external debts over the past two years, despite its financial troubles.

In a related development, the Finance Ministry continued negotiations with the European Union and the United States on a package of aid and loans, noting that these negotiations have not been adversely affected by the recent constitutional declaration or call for a referendum on the draft constitution.

“The negotiations are ongoing regarding the aid package, which is related to a partnership agreement with the US and EU concluded two years ago,” a ministry official said.  

Edited translation from Al-Masry Al-Youm