Egypt’s Net Foreign Assets Hit Record $29.5 Billion

Egypt’s net foreign assets surged by $4.02 billion in January to reach a record $29.54 billion, according to data released by the Central Bank of Egypt, underscoring strengthening dollar inflows into the economy.

The rise reflects sustained support from Gulf investments, robust remittance flows and the impact of recent currency reforms. Remittances from Egyptians working abroad climbed to a record $4 billion in December, pushing total transfers for 2025 to $41.5 billion — a sharp increase from $29.6 billion in 2024.

Central bank data showed commercial banks’ foreign assets rose by $1.67 billion during the month, while central bank holdings remained broadly stable. At the same time, net foreign liabilities declined across both institutions, signaling improved external balances.

Egypt’s foreign asset position had turned negative in early 2022 as authorities intervened to defend the currency. However, after a major devaluation in March 2024 and the subsequent flotation of the pound, the country returned to positive territory in May 2024.

The latest figures come shortly after Egypt secured approximately $2.3 billion in fresh financing from the International Monetary Fund following key reform reviews, providing additional support as the country navigates regional geopolitical pressures and global market volatility.

Source: NewstimeHub