Egypt’s net foreign assets rose by $3.54 billion in July to a record $18.5 billion, central bank data showed, as Gulf investments, a currency devaluation 18 months ago and strong remittances from workers abroad help boost deposits, analysts say.
Net foreign assets were $14.96 billion at the end of June. Almost all of the increase was due to higher assets at commercial banks.
Remittances from Egyptians abroad have surged since Egypt sharply devalued its currency in March 2024, jumping to $26.4 billion in the nine months to end-March from $14.5 billion in the year-earlier period, the central bank said in July.
Commercial banks’ foreign assets rose by $3.28 billion in July to $39.49 billion while their liabilities fell by $166.2 million to $31.50 billion, according to the central bank data.
Egypt’s net foreign assets, which include assets held by both the central bank and commercial banks, turned negative in February 2022 and only returned to positive territory in May last year.
They had reached a high of $17.47 billion in July 2021, according to Reuters calculations.
