The United Arab Emirates and Saudi Arabia have together given the country of Egypt close to $10 billion since Mohammad Morse the democratically elected president of Egypt was removed from power on July 3 of 2013.
The two oil rich countries are now planning to increase that amount by $20 billion to help the newly elected Egyptian President revive what once was a vibrant economy in Egypt.
Since Hosni Mubarak was ousted by a popular uprising, the country in North Africa has struggled mightily with the management of finances and its economy.
After Morsi’s removal last July by the Egyptian military, an interim government was put into place. Over that period, the UAE gave the Egyptian government just over $4.9 billion to help support the crumbling economy in the country, while another $5 billion was given by Saudi Arabia.
Reports recently claim that both governments are now planning to hand over a financial aid package that totals $20 billion to give the economy of Egypt a much needed boost.
The amount is set to be used to help the just elected President of Egypt execute a number of plans he has and to help prevent the newly outlawed group the Muslim Brotherhood from building up a legitimate support base using a weak economy.
The presidential elections of last week were marred due to a very low voter turnout. However, as was expected former army general Abdel Fatah al-Sisi was elected in a landslide over on opponent.
The two oil-rich powerhouse Middle East Arab nations, which together account for over one tenth of the worldwide supply of oil, have already had preliminary discussions with Cairo authorities in Egypt over how the funding will be set up. These reports were released in Arabic media during this past weekend.
The UAE and Saudi Arabia would like the economy in Egypt to return to its strength of prior years. The economy in Egypt was once considered progressive in its liberalization and prior to the uprising against the longtime regime of Mubarak it was considered a sound foreign investment.
However, the recent reports that the newly elected government would quickly move to impose a tax on capital gains has affected the local stock market.