According to the Central Bank of Egypt (CBE), Egypt’s current account deficit has significantly reduced to $5.3 billion during the period of July-March in the fiscal year 2022/23, as compared to $13.6 billion in the previous year.
The central bank attributed the decline in the account deficit to the growth in revenues from two key sectors – tourism and the Suez Canal. Tourism revenues accounted for approximately $10.3 billion, while Suez Canal revenues reached $6.2 billion. Additionally, the country witnessed an increase in net foreign direct investment inflows, amounting to $7.9 billion compared to $7.3 billion during the same period in the previous year.
However, remittances from Egyptian workers abroad experienced a decline of 26.1 percent, reaching $17.5 billion, down from $23.6 billion in the last fiscal year.
The CBE highlighted that for the first time in years, Egypt’s current account recorded a surplus in the October-to-December quarter of FY 2022/23, which ended in June. The bank also noted that imports decreased while exports showed growth during the same period.
