The Central Bank of Egypt (CBE) announced that Egypt repaid $7.952bn in external debt service—covering both interest and principal repayments—during the first quarter (Q1) of fiscal year (FY) 2024/2025.
According to the CBE’s report released on Tuesday, the payments included $2.344bn in interest and $5.608bn in principal installments.
The report also indicated that Egypt’s external debt stood at $155.204bn in September 2024, up from $152.88bn in June. However, this figure remained below the $160.6bn recorded in March 2024.
The external debt-to-GDP ratio reached approximately 40.8% in Q1 FY2024/2025, compared to 38.8% in June and 40.7% in March 2024.
In a positive development, the CBE reported a surplus in its net foreign assets (NFAs), which rose to $12.499bn—equivalent to EGP 632.826bn—in March 2025. This marked an increase from $12.090bn (EGP 613.108bn) recorded in February.
NFAs at the CBE are a key indicator of monetary stability, reflecting the difference between the central bank’s foreign currency assets and liabilities.
In May, the central bank confirmed that its net foreign assets returned to surplus—equivalent to EGP 458.630bn—for the first time since March 2022.
Between July and December 2024, NFAs across the banking system declined by EGP 360.7bn, representing a 57.6% drop. This was driven primarily by a EGP 458.6bn decline in NFAs at commercial banks, partially offset by a EGP 97.9bn increase at the CBE.
Meanwhile, net domestic assets across Egypt’s banking sector grew by EGP 1.378trn during the same six-month period, marking a 13.8% rise. This increase was driven by a EGP 2.581trn (23.5%) surge in domestic credit, despite a EGP 1.203trn drop in net budget items.
According to the CBE, the expansion in domestic credit was fueled by a EGP 2.165trn increase in net claims on the government, alongside EGP 238.3bn in credit to the private business sector, EGP 58.8bn to the public business sector, and EGP 119.5bn to the household sector.
In another key indicator, foreign investments in Egyptian treasury bills rose to EGP 1.774trn in January 2025, up from EGP 1.612trn in December 2024.
