FX reserves see slight uptick in January

Net foreign reserves saw a marginal increase in January, with USD 30 mn added to the stockpile, according to central bank data released yesterday. Reserves rose to USD 35.25 bn compared to USD 35.22 bn at the end of December, marking the seventeenth consecutive month of (incremental) increases.

Rewind: Egypt’s 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 emerging markets. While Egypt’s reserves lost almost USD 8 bn in the six months between February and August 2022, they have been able to recoup more than USD 2 bn over the past 17 months.