Morsi Signs Egyptian Constitution In To Law – Financial Problems Loom

Morsi Photo

After much contentiousness and protests, Mohammed Morsi signed Egypt’s new Constitution in to law.  The  Constitutional referendum passed by a convincing 63.8%, leaving no room for questions about its legitimacy.  However, it in no way means the protests will come to an end.  In addition, the Egyptian Economy is facing a severe strain.  Egyptians are dumping their currency, (the pound), in favor of dollars because of the fear their currency is going to be devalued.  The run on the dollar was fueled in part, by a decree issued by Morsi on Monday banning people from leaving the country with more than $10,000 or its equivalent in other currencies.  The Egyptian economy has been faultering due to the political unrest.  Investment and tourism have seen sharp declines.  Egypt has asked the International Monetary fund for a $4.8 billion dollar loan to cover the ever-increasing budget deficit but talks broke off when the unrest started.  Standard and Poors has downgraded Egypt’s long-term credit rating o B-, six below investment grade.  If Morsi wants to see his country move forward economically as opposed to religiously, you can’t have both, he better make sure that he helps create an environment that will give outside investors and tourists confidence in the country’s stability.  About forty percent of Egyptians live just at or below the poverty level.  Only time will tell what direction Morsi and the Muslim Brotherhood takes the country.  But it’s safe to say, if Morsi does attempt to become another dictator under the guise of Islam, the opposition won’t be silenced.

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