Despite reaching all-time high, Egypt’s external debt is within safe levels

Inflows of foreign currency debt were spent on infrastructure, health care and overhaul of shantytowns across the country. However, Egyptian banks’ net foreign liability position stands out as a risk.
A woman walks past an exchange store, Cairo, Egypt, Jan. 6, 2013.
A woman walks past an exchange store, Cairo, Egypt, Jan. 6, 2013. - Khaled Desouki/AFP via Getty Images
Al Monitor: The Pulse of the Middle East
Ahmed Elleithy
@adonisahmed

With Egypt’s external debt reaching an all-time high at $137.85 billion in June, up from $134.84 billion in March, analysts call for more focus on public investment to accelerate economic growth in the coming years.

The World Bank report titled “International Debt Statistics 2022” said the external debt stock of the two largest borrowers in the Middle East and North Africa region — Egypt and Morocco — rose by 14% and 19%, respectively, in 2020.

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