Egypt Erases Debt in Historic Move

The Central Bank of Egypt said that the balance of Egypt’s external debt declined at the end of September last year, that is, in the first quarter of the current financial year.

According to the bank’s monthly statistical bulletin, the debt was $154.9 billion, down $700 million, at a rate of 0.5% compared to June 2022.

The monthly statistical bulletin of the Central Bank of Egypt showed that by the end of the first quarter of the current fiscal year 2022-2023, interest and installments were paid in the amount of $4.784 billion.

The statistical bulletin of the Central Bank of Egypt indicated that servicing the debt load was divided into payments paid in the amount of $3.229 billion and interest paid in the amount of $1.555 billion.

A report released by the Central Bank attributed this to a depreciation of most borrowed currencies against the US dollar by about $2.7 billion, in addition to an increase in the net user of loans and loans by about $2 billion.

In terms of the external debt service burden, the report states that it amounted to USD 4.8 billion in the period (July/September) of the 2022/23 financial year (contributions paid were about USD 3.2 billion and interest paid were about 1 .6 billion dollars).

He pointed out that in terms of; The ratio of the balance of external debt to GDP at the end of September 2022 was 32.4% and is still within safe limits. according to international standards.

Source: Cairo 24

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