Cairo – Mubasher: Qatar Investment Authority (QIA) has deposited $1 billion with the Central Bank of Egypt (CBE) as the gas-rich GCC country moves closer to a deal to take over government holdings in some of the North African nation’s major firms, Bloomberg reported on Wednesday.
The $445 billion Qatar’s sovereign wealth fund transfered the funds amid discussions over it acquiring state-held stakes in Egyptian firms.
Due diligence on the assets and closing a deal may take time so the QIA made the deposit to help Egypt to shore up its finances at the same time.
Last year, Qatar mended ties with Egypt and Gulf states that had been strained over politics in the aftermath of the Arab Spring uprisings years ago.
Gulf Arab countries have pledged more than $20 billion in deposits and investments for Egypt. Egyptian President Abdel-Fattah El-Sisi visited Doha in September, and a port cooperation agreement was signed. Earlier this year, Qatar also deposited $3 billion into Egypt’s central bank.
