Egypt has signed a $639m loan agreement with the Arab Monetary Fund (AMF) to support public financial sector reform, in light of the novel coronavirus (COVID-19) pandemic, according to the UAE’s WAM agency.

WAM reported, on Wednesday, that the loan agreement was signed last week, and aims to support reform efforts and measures taken to help limit the economic and financial repercussions of the global pandemic.

The pandemic has caused significant pressure on Egypt’s economy, with a complete halt in the tourism sector which is a major source of income. The coronavirus has also lowered gas prices, with remittances sent back to Egypt by expatriate workers also threatened due to declining oil revenues in the GCC, where many Egyptian expatriate workers are based.

WAM stated that the AMF is keen to support efforts by member states to implement economic, financial and structural reforms to confront the various challenges they face. This has taken place through the financing of a balance of payments, general budgets and financing trade through its Arab Trade Financing Program.