Dollar debts continue to loom behind Egyptians (Photo: AP)
Egypt’s external debt reached US$34.9 billion in June 2011, a rise of 3.6 per cent or $1.2bn on the same month the year before, according to the latest bulletin released from the Egyptian Central Bank.
The rise was mainly due to currency fluctuations, with the Egypt pound slumping against the US dollar adding $2.4bn to the total value of the country’s overseas loans.
Egypt repaid around $1.2bn of loans and facilities, leaving a net increase of another $1.2bn.
Debt service payments also rose by $158.4 million, recording $2.8 billion in the 2010/2011 fiscal year.
The debt balance as a proportion of GDP dropped to 15.2 per cent at the end of June 2011, from 15.9 per cent at end of June the previous year.