Egypt’s foreign reserves climb to $20.5B
Central Bank of Egypt -YOUM7 (Archive)

CAIRO: Egypt’s foreign reserves climbed to $20.5 billion at April-end, compared to $15.3 billion in March, thanks to the flow of new Gulf deposits, the Central Bank of Egypt (CBE) announced Wednesday.

Egypt received deposits with a total value of $6 billion from Saudi Arabia, Kuwait and United Arab Emirates (UAE) in April 2015.

Egypt’s net international reserves fell to $ 15.291 billion at the end of March, marking a $165 million decline from 15.456 billion at February-end, the CBE announced April 7.

The slip was unexpected, as financial deposits pledged by Gulf States leaders at the economic summit held in Sharm el-Sheikh March 13-15, were supposed “to be delivered few days after the event,” according to a previous statement from CBE’s governor Hisham Ramez.

Gulf countries promised a total of $12.5 billion in aid and investments to Cairo on the first day of the three-day economic summit held in Sharm el-Sheikh March 13-15.

Kuwait, Saudi Arabia, and the UAE each pledged $4 billion to Egypt; $1 billion of the Saudi commitment and $2 billion of the Emirati investment are to be deposited in the CBE. Oman pledged $500 million.

Egypt’s foreign reserves posted a sharp slip at the end of 2014, on the back of repaying a $700 million six-month premium on foreign debt owed to the Paris Club in December, a month after paying back a $2.5 billion deposit to Qatar, upon an official request from Doha.

Additional reporting by Yasmine Samra

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