Egypt cash reserves fall by $1B in May: Central Bank
Foreign currency cash reserves fell by $1 billion at the end of last May, according to a brief report by the Central Bank of Egypt. (Shutterstock)
Foreign currency cash reserves fell by $1 billion at the end of last May, according to a brief report by the Central Bank of Egypt (CBE) published on Saturday.
Cash reserves rose to $20.5 billion by the end of April, after Egypt obtained deposits worth $6 billion from Saudi Arabia, the UAE and Kuwait. This was based on pledges from the three countries made at the Sharm El-Sheikh Summit held in March to support the Egyptian economy.
The government aims to reduce the deficit rate by the end of fiscal year (FY) 2014-2015 to 10 percent, and down to 8 percent within three years. The government is counting on the growth of direct investment in FY 2014-2015 to push cash reserves and reduce deficit rates.
Foreign direct investments increased in the first nine months of FY 2014-2015 to $5.7 billion, compared to $3.1 billion during the same period in FY 2013-2014.
Investment Minister Ashraf Salman said in a press statement to Daily News Egypt that the government is targeting foreign investments of between $6 billion and $8 billion by the end of FY 2014-2015.
By Menna Samir
- Al Tayer bucks the US department store trend with Bloomingdale's Kuwait opening
- Gulf Islamic banks set to outperform conventional banks for second year: Moody's
- Jordan secures EU finance for socioeconomic and environmental programs
- Same-day service deliveries in GCC an untapped market: Wing CEO
- Will terror attacks damper Arabs' appetite for European holidays?
- Egypt’s growth rate of foreign deposits jumps to 13.9 percent in March: Central Bank
- UAE offers $1B to Egypt's Central Bank
- The epitome of over-dependence: Egypt’s reserves fall $600 million due to suspension of Gulf aid
- Egypt's foreign reserves keep on falling
- Israel's foreign reserve currency continues to fall