ASSESSMENTS

Egypt Sorts the Chaff From Its Wheat Subsidies

Aug 10, 2016 | 09:00 GMT

Though scandal is not uncommon in Egypt's wheat sector, the latest episode will test the government's ability to deliver on its promises to root out corruption.
Though scandal is not uncommon in Egypt's wheat sector, the latest episode will test the government's ability to deliver on its promises to root out corruption.

(KHALED DESOUKI/AFP/GettyImages)

Another scandal has cropped up in Egypt's wheat sector. The country's prosecutor general revealed Aug. 7 that more than $60 million earmarked for buying local wheat had been stolen. Though the money is accounted for in the government's ledgers, the funds were not used for their intended purpose. This is not the first time Egypt has had to reckon with corruption in its wheat sector, nor is it surprising to uncover multitiered, systemic corruption in a developing economy as troubled as Egypt's. But President Abdel Fattah al-Sisi campaigned in part on eliminating corruption, and two years into his term, his government needs public buy-in more than ever. Egyptians have already lost some confidence in their government's ability to manage the country's food supply and to deliver on its promises to root out corruption. Moreover, to receive the aid package that the country is negotiating with the International Monetary Fund, Egypt...

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