In this episode Stephen looks into the specific effects of Egypt taking an IMF loan, including currency devaluation and cutting subsidies. 

The International Monetary Fund released the details of the $12 billion loan it approved for Egypt in November, the Washington-based lender’s largest in the region.

In order to obtain the loan, Egypt was forced to adhere to an economic program, the first step of which was to float the exchange rate and devalue the pound against the US dollar while lifting subsidies on petroleum fuels. These decisions were adopted Nov. 3. On Nov. 11, the Central Bank of Egypt received from the IMF $2.75 billion, representing the first tranche of the $12 billion IMF loan to Egypt.