The Central Bank of Egypt (CBE) announced that the net foreign assets (NFA) of the Egyptian banking sector achieved a surplus of $13.25bn (EGP 644.764bn) in July 2024. This marks an increase from the previous month’s surplus of $13.02bn (EGP 626.6bn) in June.
The NFA indicator reflects the difference between the foreign assets held by the banking sector, including the Central Bank, and the liabilities owed to non-residents. Changes in this indicator represent the net transactions of the banking sector with the global market over a specific period.
In May, the NFA recorded a surplus of EGP 676.4bn, reversing a deficit of EGP 174.385bn in April. This was the first surplus since January 2022, when the NFA achieved a surplus of EGP 9.674bn.
As of July, the total foreign assets of the banking sector (including both the central bank and commercial banks) amounted to EGP 3.687trn, up from EGP 3.634trn in June. Meanwhile, total liabilities reached EGP 3.042trn, compared to EGP 3.008trn in the previous month.
In a related development, the CBE reported that liquidity in the Egyptian banking sector rose to EGP 10.783trn in July, up from EGP 8.877trn in December 2023.
Liquidity levels increased steadily, from EGP 8.877trn in December 2023, to EGP 8.989trn in January 2024, and further to EGP 9.124trn in February. It then surged to EGP 9.988trn in March, EGP 10.097trn in April, EGP 10.352trn in May, and finally EGP 10.618trn in June.
The CBE also noted that the money supply reached EGP 2.689trn in July, compared to EGP 2.370trn in 2023. The currency in circulation outside the banking sector was EGP 1.194trn, up from EGP 1.068trn.
Additionally, demand deposits in local currency amounted to EGP 1.494trn in July, compared to EGP 1.301trn. Quasi-money, which includes time deposits and savings accounts, increased to EGP 8.094trn, up from EGP 6.507trn.
