Cairo – Mubasher: Egypt is looking to sign a number of insurance contracts to hedge against the increasing prices of imported commodities, including oil, wheat, and food, starting from fiscal year 2019/2020, a government source said.

This step will enable the North African nation to achieve its budget deficit target next year, the source told Enterprise.

The government is currently in talks with international banks over the hedge plan, the source revealed without naming the lenders.

The banks had already approached the Egyptian government with their offers and the best one will be selected, the source added.

The hedge scheme will be discussed by the Parliament by the end of March as part of the FY19/20 budget.

In September, finance minister Mohamed Maait announced postponing the hedge plan against fluctuation in oil prices signed with two international banks.