Egypt’s strength is critical for all

Cairo remains critical to the prosperity and security of the Middle East and the world

Egypt's devaluation of the pound helped secure it a crucial IMF loan. Khaled Desouki / AFP

Sheikh Mohammed bin Zayed's visit to Cairo last week underscores the significance of Egypt as one of the most important parts of the Arab world. As The National reported, the Crown Prince of Abu Dhabi and Deputy Supreme Commander of the Armed Forces discussed regional issues including foreign interference, continuing conflicts and the risks posed by extremist organisations with Egyptian president Abdel Fattah El Sisi.

The visit was a reaffirmation of the binding ties between the UAE and Egypt at a vital time in the country’s economic transformation. Working on a “a common Arab vision”, as Sheikh Mohammed said in Cairo, is important to confront the complex challenges facing the region.

In recent months, the Egyptian economy has struggled from a shortage of currency and the Egyptian pound has endured a difficult period. The pound was recently devalued by almost a third from the previously fixed rate of 8.85 to close to 13 pounds to the US dollar.

Support from Gulf countries and particularly the UAE has been crucial to the Egyptian economy over the recent past. The International Monetary Fund has now stepped in with a $12 billion (Dh44bn) aid package and directives to reduce fuel subsidies and float the currency. It is now up to the government to follow this advice and push through vital economic reforms and get back on track with foreign investment projects. The IMF is hopeful that the immediate injection of aid will spur outside investment and put the brakes on the slide.

Sheikh Mohammed’s visit is proof that Egypt is not alone in facing these challenges. Arab allies in the region will continue to stand by Cairo as part of a long history of shared ties and close cooperation. When it comes to regional policy – from the fight against extremism to the overall security of the region – Egypt remains one of the most important countries in the Arab world. As such, the country is too important for the region to fail. Steps are being taken to ensure that doesn’t happen.