Egypt vs IMF: Time to Default?

by Eric Walberg
Global Research, July 7, 2011

The financial flip-flop of Egypt’s revolutionary government, first requesting and then declining a $3 billion dollar IMF loan, highlights Egypt’s hard choices at this point in the revolution, but is a good sign.

It is no secret that Egypt has put all its faith in the US and Western international institutions since the days of Egyptian president Anwar Sadat, contracting a huge foreign debt, a process that was increasingly corrupt, despite being careful watched over by those very agencies. This debt is financed by foreign banks, and must be repaid in dollars -- with interest. If much of the money they create and then “lendâ€