Egypt's finance ministry said it had provided guarantees worth $67 million for imports of wheat and cooking oil and paid 600 million Egyptian pounds ($83.92 million) owed to the state-owned sugar company.
A ministry statement said the letters of credit would allow the state-run General Authority for Supply Commodities (GASC) to secure 60,000 tons of wheat to boost the country's strategic stocks along with 41,000 tons of cooking oil.
Millions of poor Egyptians rely on subsidized bread, requiring the country to fund a food import bill that amounted to 32 billion pounds in this financial year that ends June 30.
Wheat imports drain billions of dollars from state coffers, a strain the cash-strapped government can scarcely afford amid sluggish growth and a wide budget deficit.
The repayment of funds owed to the government's sugar company could help it buy raw sugar on international markets.
The company has cancelled two tenders for the commodity since January, citing high prices.
Reuters
27 June
