$4 billion Saudi aid for Egypt

In this May 19, 2011 photo, an Egyptian woman sits at a popular market in Cairo. Saudi Arabia has pledged financial assistance to help Egypt rebuild its economy. (AP)

By ARAB NEWS

RIYADH: Saudi Arabia has pledged $4 billion in aid to Egypt, the chief of Egypt's ruling military council said Saturday. The aid will be in the form of soft loans, deposits and grants, Field Marshal Mohamed Hussein Tantawi, head of the council, was quoted by Egypt's MENA news agency as saying. The agency did not provide a time frame or other details.

The Saudi Press Agency said Tantawi called Custodian of the Two Holy Mosques King Abdullah on Saturday and thanked him for providing the financial assistance to his cash-strapped country.

The Egyptian leader highlighted the historic ties between the two Arab countries and commended the Kingdom for standing by his country during "these trying times," the SPA said. The two leaders also discussed major regional developments and ways of strengthening bilateral relations.

Cairo has been asking donors and the International Monetary Fund (IMF) to help bridge a funding gap through mid-2012 estimated at between $10 billion and $12 billion in the wake of the mass protests that ousted President Hosni Mubarak on Feb. 11.

The month-long anti-government protest has caused tourism and investor revenue to dry up at a time when high popular expectations have increased the pressure on the budget.

The mass circulation Al-Ahram daily quoted financial sources in Cairo as saying the Saudi package would support Egypt's general budget, the central bank, development and other projects and bond purchases. Egypt's economy contracted by an estimated 7 percent in the January-to-March quarter.

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EUROPEAN WOMAN

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Excellent!

The Saudis and other wealthy Arab nations should take over all aid to Muslim nations so that the evil infidels can aid their own people instead of ungrateful Muslims.

UM YUSUF

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European Woman...didn't understand your comment....please clarify...who the evil infidels are....

RIYADH

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Thats a great!!! shouldn't that money be used to help the Saudi unemployment and housing shortage?

THUNDERBOLT

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@EUROPEAN WOMAN, At the same time Arab nations must stop taking loans from the West that gives them at 30% of interest rates to keep them enslaved so that the soveriegnity of one's nation is not threatened. Saudi is an excellent example of generous nation to both western & the eastern nations. Meanwhile, America can continue printing its paper note & lend it at 30% of interest to the congressmen as well as to the poor nations of the world.

ZAK

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Why stop there European woman.

Western nations should withdraw from all muslim lands, drop their support for all western installed and backed dictators and let muslims choose their owen leaders. Also Europe and the West have plenty of land, enough and more to spare for Europeans who have stolen land in Palestine and forced its own people out and to this day continue to bomb, invade and occupy neighbouring lands.

Fair that.
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