More money, more problems? Egypt returns another $500 million to Qatar
Reuters reported Tuesday that Egypt returned $500 million to Qatar December 2 after the Gulf peninsula "refused" to renew a former deposit it had made in Egypt's central bank.
Tuesday's deposit return represents the second instance that Egypt has returned funds from Qatar back to Doha within the last month. In September, Egypt also returned approximately $2 billion to the Gulf peninsula, after talks about converting the money into three-year bonds deteriorated.
Qatar, a staunch supporter of former Egyptian president Mohammed Morsi's Muslim Brotherhood, previously gave Egypt $7.5 billion while the Islamist president was in power. Since Morsi's oust in July, however, relations between the two countries has waned dramatically.
Egypt, however, is still in "sore" need of funding, particularly foreign currencies in order to avoid economic collapse as confidence in the country's pound decreases.
Since July, Saudi Arabia, Kuwait and the UAE have promised Egypt $12 billion aid in total.
- Oman’s Duqm tourist complex moves forward with government approval
- Kuwait fights budget deficit: Reexamining government salaries, expatriate labor
- Tunisian Confederation of Industry, Trade, and Handicrafts fights nationwide unemployment levels
- Construction costs fall in Dubai
- Western tourists flock to Iran, could generate $30B in new revenue