Two years after the revolution, Egypt is in a deep economic crisis. It's running out of money to purchase crucial imports like wheat and fuel, both of which are subsidized by the government, and an infusion of cash is desperately needed.
While a delegation from the International Monetary Fund is in Cairo continuing negotiations on a $4.8 billion loan, Egyptians are strained by the rising costs of food — and the gas needed to cook it.
It's MORNING EDITION from NPR News. Good morning, I'm David Greene.
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And I'm Linda Wertheimer.
When you're filling up a car with gas, chances are you are not looking at the price per gallon and thinking how low it is. And maybe thinking that the government ought to do something about that and raise prices. But the economic wizards at the International Monetary Fund are recommending exactly that, not just for the U.S. but for the entire world.
Saying that the global economic recovery "has suffered new setbacks, and uncertainty weighs heavily on the outlook," the International Monetary Fund today warned that the probability of "recession in advanced economies and a serious slowdown in emerging market and developing economies" next year have gone up.
The fund said its research indicates the risk of those things occurring in 2013 "has risen to about 17 percent, up from about 4 percent in April 2012."
The UK gave some support to the emerging market nations' quest for a greater role today at the IMF during the spring meetings of the World Bank and International Monetary Fund in Washington, D.C.
Chancellor of the Exchequer George Osborne said the UK's $15-billion contribution to the IMF's enhanced crisis fund could not be accessed until further progress is made on giving the emerging market a greater voice in how the is Fund is run.
International Monetary Fund officials and members of the G-20 nations announced Friday that member countries have pledged $430 billion to add to the Fund's crisis-fighting arsenal.
The Fund's managing director Christine Lagarde came into the annual World Bank-IMF spring meetings in Washington, D.C., with a goal of raising $400 billion from member states. She was clearly happy and relieved as she announced a number larger than that.