Egypt Reduces Oil Debts By Paying off $2.2 Billion to Oil Companies

Published June 12th, 2017 - 07:59 GMT
Egypt's oil debts had reached $4.5 billion dollars at the end of December 2016. (File photo)
Egypt's oil debts had reached $4.5 billion dollars at the end of December 2016. (File photo)

Egypt succeeded over the last three weeks, in paying off $2.2 billion dollars from oil debts dedicated to international oil companies. The recent payment led to a remarkable decline in Egypt’s oil debts to $2.3 billion dollars, instead of $6.3 billion in 2013. 

According to Egyptian Petroleum Minister Tarek El Mola, the Egyptian General Petroleum Corporation (EGPC) paid off 2.2 billion dollars to international oil companies, after the debts had reached $4.5 billion dollars at the end of December 2016.

El Mola said the debt payment came as part of his ministry’s efforts to encourage oil companies to pump more investments and intensify oil prospecting work for the sake of increasing oil production in Egypt.

Egypt expressed commitment in the agreement it signed with the International Monetary Fund (IMF) to pay off all debts it owes to international companies by June 2019, the agreement stipulated the payment of $3.5 billion to end duties of foreign oil companies.


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