The final quarter of 2023 saw a $3.5 billion increase in Egypt’s foreign debt

Data released on Thursday by the central bank shows that Egypt’s foreign debt increased by $3.5 billion in the three months leading up to the end of December.

From $164.5 billion at the end of September 2022 to $162.9 billion at the end of December 2022, the total amount of foreign debt increased to $168.0 billion.

Since 2015, Egypt’s external debt has increased fourfold in order to finance the construction of new capital, infrastructure, arms purchases, and currency support.

Due to a persistent lack of foreign exchange during the Ukraine crisis and the subsequent flight of international investors, the government turned to the International Monetary Fund for assistance, and the organization approved a $8 billion package in March.

As part of the deal, Egypt committed to reduce spending on major government projects.
The central bank stated that the foreign debt, of which 82.5% was long term, amounted to 43% of GDP.