The EU plans to fast-track some financial aid to Egypt. The usual funding safeguards will not apply
abcnews.go.comThe European Union aims to fast-track up to $1.1 billion in financial aid to Egypt, using a funding procedure that bypasses parliamentary oversight and other safeguards
BRUSSELS — The European Union intends to fast-track some of its aid money to Egypt using an urgent funding procedure that bypasses parliamentary oversight and other safeguards, according to the president of the bloc’s executive branch.
The 1 billion euros ($1.1 billion) intended for this is part of a larger package of 7.4 billion euros ($8 billion) in financial assistance to the North African country that the EU announced on March 17.
Egypt has for years relied on cash handouts, often from wealthy Gulf Arab states, as concerns mount that economic pressure and regional conflicts could drive more migrants from the region to Europe’s shores.
The EU package includes three year's worth of grants and favorable loans for the Arab world’s most populous country. Most of the funds — 5 billion euros ($5.4 billion) — are known as macro-financial assistance, or MFA, and would be paid directly to Egypt’s Central Bank.
It's rare for the EU to sidestep safeguards, but European Parliament elections are due June 6-9 — a timeline that if the checks were implemented, would slow the delivery of that money.
With those polls in mind, European Commission President Ursula von der Leyen announced plans for “an urgent MFA operation for up to 1 billion euros” for Egypt, noting in a letter to EU Parliament President Roberta Metsola the country’s “rapidly deteriorating economic and fiscal situation.”
The letter, seen by The Associated Press, preceded the announcement of the deal with Egypt.
Von der Leyen blamed “a very large exposure to the economic effects of Russia ’s full-scale
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