Net foreign reserves record a slight increase in December, with just USD 46.4 mn added to the stockpile during the month, according to central bank data released Thursday. Reserves inched up to USD 35.22 bn compared to USD 35.17 bn at the end of November.

But on the plus side, it's the sixteenth consecutive month of increases, with FX reservesincreasing — albeit marginally — every month since September 2022. Our FX reserves took a hit in 2022 when the double-blow of Russia’s invasion of Ukraine and tightening global financial conditions triggered capital flight from Egypt and other emerging markets. Reserves fell almost USD 8 bn in the six months between February and August 2022 — USD 2 bn of which we’ve been able to recoup over the past 16 months.

Sound smart: Almost USD 30 bn of our reserves are now made up of deposits made by Saudi Arabia, the UAE, Qatar, Kuwait, and Libya — accounting for over 85% of our reserves.

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