Egypt remittances expected to rise nearly 50%

Remittances from Egyptians abroad are expected to hit $26 billion for the 2017-18 fiscal year that ended in June, the central bank said, a nearly 50 per cent jump year-on-year but less than an earlier projection.

Remittances have surged since Egypt floated its pound currency in late-2016 and drew hard currency back to its official banking system, drying up a then-thriving black market for dollars.

The central bank said earlier this month that remittances had reached $26 billion for the first 10 months of the fiscal year, but the statement revised that 10-month figure down to $21.9 billion.

Still, the $26 billion year-end total marks a 49 per cent rise from the $17.453 billion Egypt netted the previous fiscal year according to central bank data.

Remittances have become a crucial source of hard currency for the import-dependent country, which has struggled to significantly boost exports or foreign direct investment despite tough economic reforms tied to a $12 billion IMF loan programme it began in late-2016.

Help keep Expat Cairo independent. If you value our services any contribution towards our costs would be greatly appreciated.