Since the $35 billion Ras El Hikma deal earlier this year, Egypt’s net foreign reserves have jumped by $11.2 billion in the past 5 months, providing the central bank with the opportunity to float the pound with a strong buffer.
Egypt's net international reserves soared to $ 46,597 billion by the end of August, according to data released by the Central Bank of Egypt (CBE).
In August, the CBE reported that Egypt's net international reserves soared to $46.49 billion by the end of July, registering an increase of around $110 million compared to June’s $46.38 billion.
Since the $35 billion Ras El Hikma deal earlier this year, Egypt’s net foreign reserves have jumped by $11.2 billion in the past 5 months, providing the central bank with the opportunity to float the pound with a strong buffer.
Earlier in August, Fitch Ratings projected foreign reserves to rise to $49.7 billion in the current fiscal year and to $53.3 billion in FY2025/2026 following its recent upgrade of Egypt's long-term foreign currency Issuer Default Rating from stable to positive.
The ratings agency added that, citing greater exchange rate confidence, it predicts that the country’s current account deficit will narrow to 3% of gross domestic product (GDP) in FY2025/2026.
Recently in September, to Zhao Leji, Chairman of the Standing Committee of the National People's Congress (NPC) of China stated that China has granted Egypt ¥100 million (approx. $14 million) to support joint development projects between the two countries.
