Back to the complete issue
Monday, 12 July 2021

Egypt’s external debt jumps in 3Q 2020-2021

Egypt’s external debt jumped by 21% in 3Q2020-2021 to USD 134.8 bn, compared to USD 111.3 bn in the same period in the previous fiscal year, according to central bank figures released yesterday. On a quarterly basis, external debt increased 4.3% from USD 129.2 bn in the second quarter.

Blame lower foreign inflows: In May S&P forecast that Egypt’s external debt would continue to deteriorate during the remainder of the fiscal year due to lower foreign inflows.

This should change in the coming months as tourism revenues and Suez Canal receipts continue to rebound, resulting in a “gradual improvement” of government debt levels, the ratings agency said.


The Egyptian economy grew at a 2.8% clip in FY2020-2021, Planning Minister Hala El Said told CNBC Arabia in what we’re assuming are preliminary growth figures for the fiscal year that finished less than two weeks ago. The minister didn’t provide a growth figure for the fourth quarter of the fiscal year.

This is a slowdown from the 3.6% recorded in FY2019-2020 that witnessed a 1.7% contraction in the fourth quarter due to the covid-19 pandemic and the government’s lockdown measures.

A return to normalcy this year? The Finance Ministry expects the Egyptian economy to return to near pre-pandemic growth levels, expanding at a 5.4% clip.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of HSBC Egypt (tax ID: 204-901-715), the leading corporate and retail lender in Egypt; EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Mashreq (tax ID: 204-898-862), the MENA region’s leading homegrown personal and digital bank; Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt; Hassan Allam Properties (tax ID:  553-096-567), one of Egypt’s most prominent and leading builders; and Saleh, Barsoum & Abdel Aziz (tax ID: 220-002-827), the leading audit, tax and accounting firm in Egypt.