Saudi Arabia halts oil shipments to Egypt in spite of aid deal
Saudi Arabia has informed Egypt the oil shipments under a $23 billion aid deal agreed to in April have been halted indefinitely. The action suggests a deepening rift between the two countries.
|Since President Abdel el-Sisi took power in Egypt in 2013, Saudi Arabia has been a major donor helping prop up Egypt's ailing economy. There may be a number of reasons behind the action. Some claim that the Saudis are frustrated with Egypt's lack of economic reforms. However, Egypt has accepted reforms required to obtain a loan from the IMF for $12 billion. Another reason may be Egypt's reluctance to be drawn into the Yemen conflict.|