No more 'free' Saudi money for Egypt: Saudi businessman familiar with matter

By Asma Alsharif
CAIRO, 08 April. - (ANA) - Saudi Arabia's financial support for strategic ally Egypt will no longer involve "free money" and Riyadh will focus on soft loans and a return on investment to help it grapple with low oil prices, a Saudi businessman familiar with the matter said.

"This is a change in strategy. Return on investment is important to Saudi Arabia as it diversifies sources of revenue," the businessman told Reuters on Friday during what has been described as a "historic" visit to Cairo by Saudi King Salman.

Saudi Arabia, the United Arab Emirates and Kuwait showered Egypt with billions of dollars after then-military chief Abdel Fattah al-Sisi toppled President Mohamed Mursi of the Muslim Brotherhood in 2013 after mass protests against his rule.

But low oil prices and differences over regional issues have called into question whether such strong support is sustainable.

Egypt is struggling to revive an economy hit by years of political upheaval triggered by the 2011 uprising that ousted President Hosni Mubarak, as well as an Islamist militant insurgency based in the Sinai Peninsula. - (ANA) -

AB/ANA/ 08 April 2016 - - -