Egypt took an important step toward saving its economy from collapse when it decided on Thursday to allow its currency to float freely, thus paving the way for a $12 billion loan from the International Monetary Fund. Yet much more remains to be done to bring the country back from the edge of economic disaster, where it has teetered since the 2011 Arab uprising, which pretty much destroyed tourism and ushered in years of political instability.

A result has been a lack of foreign currency, which has forced many Egyptians to buy dollars on the black market, reduced imports of everything from sugar to cars and led to layoffs in some companies. After President Abdel Fattah el-Sisi seized power in 2013, Saudi Arabia and the United Arab Emirates provided billions of dollars in aid. That saved Egypt, but it also allowed Mr. Sisi, who fears popular unrest, to ignore the I.M.F. and its demands for structural reforms as a condition of its lending.

Mr. Sisi, a former general who has become an authoritarian and repressive leader, is not known for his economic expertise or political courage. But several factors — further economic deterioration, rising criticism of his government and pressure from the United States — have combined to change his mind. Even so, he waited until now to accept a deal that was tentatively approved in August.

Ahead of the float, scheduled to begin on Sunday, the Egyptian central bank had devalued the currency by nearly 50 percent, an effort to guide the level at which it should eventually trade. The move was designed to wipe out the advantage of the black market, which siphoned money from the banking system. Fuel subsidies were also cut. Egypt had already been addressing the I.M.F. requirements that it pass a value added tax, reduce electric subsidies and raise $6 billion in external financing.