Egypt’s external debt shrinks to $39.9B at March-end: CBE
CBE building - YOUM7 (Archive)

CAIRO: Egypt’s external debt slipped to $39.9 billion by the end of March, marking a 13.5 percent decline from $46.1 billion by the end of June, 2014, the Central Bank of Egypt (CBE) announced in a Monday report.

The central bank attributed the decline to the payments of loans and credit facilitations worth $3.5 billion, according to state-run news agency MENA.

Meanwhile, most currencies which Cairo borrowed in have lost ground against the dollar, saving around $2.7 billion in the foreign debt.

Medium and long- term external debt servicing expenses stood at $5.2 billion in the period from July, 2014 to March, marking a $2.5 drop from the same period in the previous fiscal year.

Indicators show that Egypt’s external debt fell to 12.5 percent of GDP as of March-end, compared to 15.8 percent in March, 2014, according to the report.

“Egypt is set to pay back around $1.9 billion of its foreign debt during 2015, despite the heavy pressure on the country’s foreign reserves due to low revenues from tourism and foreign direct investment since 2011 Revolution,” a senior government official told Youm7 previously.

Two premiums, each worth $700 million to the Paris Club are scheduled to be repaid in January and July this year, in addition to a $500 million Qatari deposit by the 2nd half of the year, the source added.

Egypt’s foreign reserves climbed to $20.5 billion at April-end, compared to $15.3 billion in March, after Cairo had received $6 billion worth of deposits from Saudi Arabia, Kuwait and United Arab Emirates (UAE.)

The three Gulf countries promised a total of $12 billion in aid and investments to Egypt on the first day of the three-day economic summit held in Sharm el-Sheikh March 13-15.

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