This decline was primarily driven by a payment of $5 billion resulting from the sale of development rights to Ras El Hekma.
Egypt experienced a decline of EGP 217.1 billion ($7.04 billion) in its net foreign assets (NFAs) in February, to reach EGP 678.988 billion, compared to EGP 896.121 billion at the end of January, as per the data released by the Central Bank of Egypt (CBE).
This decline was primarily driven by a payment of $5 billion resulting from the sale of development rights to Ras El Hekma.
The CBE data further reveals that as of the end of February, foreign assets held by the CBE amounted to EGP 1.059 trillion, while foreign assets held by banks totaled EGP 515.442 billion.
Recently, Prime Minister, Mostafa Madbouly, said that Egypt is set to receive the second installment of funds from the Ras El Hekma deal, totaling $20 billion, at the beginning of next May.
Previously, Egypt had received $10 billion from the $35 billion deal and implemented measures to convert $11 billion from UAE deposits at the CBE into local currency, as per the deal's terms.
Earlier this week, Head of the International Monetary Fund (IMF) mission to Egypt, Ivanna Vladkova Holla said that the third review of Egypt's economic reform program will be finalized by the end of June 2024. Following the completion of the review, a new tranche of the loan, amounting to a maximum of $820 million, will be disbursed.
Hollar highlighted that 8 reviews are scheduled under the loan program with Egypt. These reviews will take place every 6 months, starting from the fourth review onwards.
As a result, a disbursement of $1.3 billion will be made based on these reviews. The program's final review is expected to conclude in the autumn of 2026.
