Egypt's economy to grow 6% in the new 3 years, says finance minister

Egypt's finance minister is predicting growth rates of up to 6 percent within three years, which would mark a major turnaround following three years of political turmoil that has crippled the economy.

Hany Kadry Dimian told The Associated Press he expects growth to increase from 2.5 percent to 3.5 percent this quarter, as Egypt pursues several mega-projects — including an expansion of the Suez Canal — and seeks foreign investment and a revival of the vital tourism sector.

"Having all these projects in place, having investors already knocking on the door to be placed and well-situated with the development projects we have, with the Suez Canal, the 5-6 percent in 2-3 years is very doable," said Dimian.

Meanwhile, Egypt will buy 65 percent of its oil product imports for the next year from the United Arab Emirates, in the latest Gulf lifeline to an economy rocked by three years of turmoil.

The deal, approved by the Egyptian government on Wednesday and announced in a statement, covers gasoline, diesel, heavy fuel and liquefied petroleum gas (LPG) that is used in homes.

Egypt has struggled to curb its swelling budget deficit whilst meeting soaring energy demands, resulting in daily electricity cuts around the country of 86 million people.