Can Egypt Recover? Will EGPT Bottom?

I've been looking for Egypt to collapse by the time this cycle of social mood and revolution completes. With dwindling foreign reserves, there's going to be a currency crisis even if the nation is able to return to some form of political stability.

Lingering Crisis in Cairo Dims Egypt's Economic Outlook

The political conflict between President Mohamed Morsi and his opponents threatens to do further damage to Egypt’s pivotal tourism industry, drag down already-depleted foreign-exchange reserves and increase the country’s painfully-high inflation rate north of 8%.

.......While Egypt’s foreign reserves totaled $36 billion in December 2010, they plummeted as low as $13.5 billion in March 2013. Reserves rose to $16 billion in May thanks to a recent cash injection of $3 billion from Qatar and a $2 billion interest-free loan from Libya.

Egypt is living off of foreign aid at this point. If the nation does anything to jeopordize foreign support, they will run out of currency reserves and be unable to import food.

Egypt hits the wall

Egypt to Start Foreign Exchange Auctions as Reserves Plunge

The North African nation’s central bank said the sales and purchases of U.S. dollars will take place periodically and aim to “preserve foreign-currency reserves and ration their use,” according to an e-mailed statement today. The new mechanism will support the dollar interbank market, it said. Egypt’s net international reserves have slumped almost 60 percent in the two years since the start of an uprising that ousted former President Hosni Mubarak.

“The current level of foreign-currency reserves constitutes the minimum and critical level that must be preserved” to meet necessary needs like repaying external debt and importing “strategic commodities,” the central bank said in the statement.

Egypt needs dollars for food. If food prices rise, Egypt will go hungry.

Market Vectors Egypt Index ETF (EGPT) rallied post-Spring, but it will reach new lows as the currency collapses.