IMF approves $12 billion loan to Egypt

The International Monetary Fund says its executive board has approved a three-year bailout totaling 12 billion dollars to Egypt, to support the country's ailing economy.

In a statement today, the IMF says the program aims to help Egypt "restore macroeconomic stability and promote inclusive growth." It added that Egypt will receive a first installment of 2.75 billion dollars immediately.

The approval comes almost a week after the Egyptian government floated its currency and raised fuel prices in order to qualify for the loan.

These reforms earned praise from the IMF and the international business community, but caused price hikes for an already frustrated cash-strapped population, with President Abdel-Fattah el-Sissi now risking a serious political backlash.