Egyptian President Mohamed Morsi said yesterday parliamentary elections could be delayed until October, a postponement that could give his cash-strapped administration breathing space to negotiate an IMF deal.

Morsi’s original plan was for a four-stage election that would start in late April and put a parliament in place by July.

But the schedule fell apart this month when a court cancelled the presidential decree setting the dates. “Perhaps the elections will be held in the coming October,” state news agency Mena quoted Morsi as saying.

The postponement removes one source of friction between Morsi and the secular-minded opposition, which had planned to boycott the vote on the grounds that the election law had been drawn up to suit Morsi’s Muslim Brotherhood and other Islamists.

But many tensions remain in a political landscape where divisions have deepened since Morsi was elected in June.

The acrimony will complicate efforts to build the consensus that the International Monetary Fund wants to underpin a loan deal likely to require cuts in unaffordable state subsidies.

This week Morsi’s opponents accused him of instigating a crackdown on dissent when the prosecutor-general ordered the arrest of five bloggers alleged to have incited violence against the Brotherhood.

Morsi has in turn hardened his tone in response to recent violence triggered by protests against him and the Brotherhood.

After promising on Sunday to take unspecified steps to protect the nation, Morsi vowed on Tuesday to “break the neck” of anyone who threw a petrol bomb.

The unrest is frustrating efforts to revive the economy. Dwindling wheat stocks and shortages of imported fuel have increased the urgency of securing the IMF loan to plug the budget deficit and support foreign currency reserves that have dropped below the level needed for three months of imports.

The Government has said it expects an IMF technical mission in Cairo soon to complete negotiations on the agreement.

The IMF, however, has not given a date. An IMF deal would unlock billions of dollars in further support for Egypt. But political consensus is seen as vital.

In a blow to the President, an appeals court yesterday ordered the reinstatement of the former prosecutor-general, a Hosni Mubarak-era appointee whom Morsi had sacked.

It was not immediately clear whether Morsi would appeal.

Sign up to our free newsletters

Get the best updates straight to your inbox:
Please select at least one mailing list.

You can unsubscribe at any time by clicking the link in the footer of our emails. We use Mailchimp as our marketing platform. By subscribing, you acknowledge that your information will be transferred to Mailchimp for processing.