Saudi Arabia, Gulf Countries Want Better Returns for Bailing Out Egypt

CAIRO—Saudi Arabia and other Persian Gulf countries have warned Egypt that any financial bailout would depend on Cairo devaluing its currency and appointing new officials to run its economy, according to Egyptian and Gulf officials, raising the bar for its embattled neighbor after providing years of easy assistance.

The economy of the Arab world’s most populous country is in dire straits after the Covid-19 pandemic hit its tourism sector and the war in Ukraine pushed up global food and commodity prices. Inflation has soared to over 40% and Egypt’s currency is one of the worst performers globally this year, pushing millions more into poverty.