Egypt: Alarm sounded on economy

Egyptian officials are warning that the country, just emerging from a popular uprising that ousted the regime of former President Hosni Mubarak, could be facing a major economic crisis with lagging international aid and foreign investment. General Mahmoud Nassr, a member of the Supreme Military Council, which is running the country’s interim government, told an economic conference in Cairo last week that foreign direct investment (FDI) has come to a standstill while Western rating agencies race to downgrade the country’s sovereign credit rating. The poverty rate has also worsened to 70 per cent, Nassr added.