The Central Bank of Egypt's (CBE)
The increase, covering July to January, compares with around $20 billion in the same period a year earlier and underscores the growing role of remittances as a key source of foreign currency.
Monthly inflows also increased, rising 21 percent in January to about $3.5 billion, up from $2.9 billion in January 2025.
The upward trend follows a surge towards the end of 2025, when remittances rose 40.5 percent year on year to $41.5 billion, compared with about $29.6 billion in 2024.
Remittances are considered to be Egypt’s shock absorber as they support household consumption and provide a buffer during periods of stress, helping to increase foreign currency reserves while easing the pressure on the widening balance of payments (BOP) deficit.
Despite stronger inflows, the balance of payments deficit widened to $1.6 billion in the first quarter of the 2025/2026 fiscal year, up 61.4 percent from $991.2 million a year earlier.
During the same period, remittances rose 29.8 percent to about $10.8 billion, compared with $8.3 billion a year earlier.
The increase in remittance inflows follows policy changes introduced by the CBE in March 2024, including a sharp currency devaluation and a six-percentage-point interest rate rise, which helped narrow gaps in the parallel foreign exchange market and channel more transfers through official banking systems.
The Egyptian pound remained broadly stable ahead of the Eid holidays, trading at around EGP52.29 for buying and EGP52.42 for selling at last week’s close.
Officials expect economic growth to reach about 5.2 percent by the end of the 2025/2026 fiscal year, which runs to June, as part of a broader reform programme aimed at stabilising the economy and improving external balances.
Targets for the following fiscal year include gross domestic product (GDP) growth of 5.4 percent, lower inflation, and a primary surplus of EGP 1.2 trillion (about $22.7 billion).
The increase, covering July to January, compares with around $20 billion in the same period a year earlier and underscores the growing role of remittances as a key source of foreign currency.
Monthly inflows also increased, rising 21 percent in January to about $3.5 billion, up from $2.9 billion in January 2025.
The upward trend follows a surge towards the end of 2025, when remittances rose 40.5 percent year on year to $41.5 billion, compared with about $29.6 billion in 2024.
Remittances are considered to be Egypt’s shock absorber as they support household consumption and provide a buffer during periods of stress, helping to increase foreign currency reserves while easing the pressure on the widening balance of payments (BOP) deficit.
Despite stronger inflows, the balance of payments deficit widened to $1.6 billion in the first quarter of the 2025/2026 fiscal year, up 61.4 percent from $991.2 million a year earlier.
During the same period, remittances rose 29.8 percent to about $10.8 billion, compared with $8.3 billion a year earlier.
The increase in remittance inflows follows policy changes introduced by the CBE in March 2024, including a sharp currency devaluation and a six-percentage-point interest rate rise, which helped narrow gaps in the parallel foreign exchange market and channel more transfers through official banking systems.
The Egyptian pound remained broadly stable ahead of the Eid holidays, trading at around EGP52.29 for buying and EGP52.42 for selling at last week’s close.
Officials expect economic growth to reach about 5.2 percent by the end of the 2025/2026 fiscal year, which runs to June, as part of a broader reform programme aimed at stabilising the economy and improving external balances.
Targets for the following fiscal year include gross domestic product (GDP) growth of 5.4 percent, lower inflation, and a primary surplus of EGP 1.2 trillion (about $22.7 billion).
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