Egypt 2016.

[A-Four]

While all the 'Bally hoo' has been going on in Hurgarda this week-end, the new government are forming in Cairo, with newly elected M.P.'s from all over the country gathering at the House of Representatives. I find it very difficult to understand why anyone would want to put themselves forward, probably for the same reason why they have not been able to elect a Speaker of the House, therefore they have temporary allowed the 'father of the house' to do this job, and the less said about him, the better, those in the know on here will understand. Of the general assembly gathered, many are familiar characters of the old Mubarak school of thought.

For several years now Egypt has been in 'administration' of some kind or other. Today for the first time the democratically elected government will be able to look at the 'books' as to the state of the nation. I would have loved to see the expression on the face of the future finance minister.

It is very difficult to work the state of play in Egypt's finances, Mss Lagarde at the IMF can not work out the situation, so that says a lot for the rest. From what I can see Egypt has not take up on a loan from the IMF for $3.5 Billion first offered back in the Mubarak days. The most recent condition of the loan was that V.A.T. was to have been introduced by 1st January 2016, it seems this did not happen. What did happen though, was that Saudi Arabia has loaned Egypt something like $8 Billion for various 'schemes' since President Sisi came to power. The question is,........at what price.

Last month Egypt's administration introduced a prices control policy where 10 of the most used food products had to be within a national agreement. For example, up until recently beef was priced at as much as 100 LE per kilo, it is now set at a national price Of 50 LE . No government anywhere in the world has ever had a successful prices and incomes policy. Inflation figures announced today show almost a 12% increase on the previous year. The Bank of Egypt's reserves are at $16 Billion as at the end of November 2015, we have to wait for the new figure,......there maybe a big shock.

Just wondering here, could any one on this forum give those poor 'lamb's' who about to enter the political arena any advice.

[newcastle]

Despite the presence of a constitution and the trappings of a parliamentary democracy, does anyone seriously believe that future decisions regarding Egypt's finances are in any hands other than Sisi and his closest advisors?

As regards the apparently parlous state of the nation's economy, Sisi can safely assume KSA, other gulf states, USA and Europe and Russia too will keep Egypt afloat at any cost. They simply cannot allow it to fail.