CBE Reports $93 Bn in from E- Government System Revenue

In a recent report by the Egyptian Central Bank, it has been revealed that the value of government service collections through the electronic government collection system has surged to a staggering EGP93 bn since its launch in May 2019 until the end of September 2022.

The report further indicates that the number of electronic POS terminals at government institutions has reached 22,000 by the end of September 2022.

The electronic government collection system was introduced nationwide through the electronic collection channels of the Ministry of Finance and participating banks, namely the Egyptian National Bank and Bank of Egypt, facilitated Meeza.

In a significant development, the report also highlights that over EGP4.3 mn instant transfer transactions, totaling a value of EGP23.4 bn, were processed through the InstaPay application up to September 30, 2022.

The newly introduced Instant Payment Network (IPN), launched in March 2022, has been one of the key infrastructure projects for payment systems overseen by the Egyptian Central Bank. Designed to replace cash transactions entirely, IPN allows customers to make instant transfers 24/7.

Since its launch in March 2022, with the participation of 11 banks in the system, over 829,000 customers have registered on the platform.

Furthermore, the report reveals that local liquidity has increased by approximately EGP335.2 bn during the first quarter of the financial year 2022/2023. This growth represents a 5.1% increase (or EGP 300 bn excluding exchange rate effects) compared to the same period in the previous fiscal year.

This boost in local liquidity is reflected in the expansion of both the money supply and quasi-money, with the money supply increasing by EGP 139.8 bn at a rate of 9% during the first quarter of the fiscal year 2022/2023, compared to EGP 74.4 bn at a rate of 5.9% during the same period of the previous fiscal year.

The rise in local liquidity also relates to an increase in current deposits in local currency held by banks, amounting to around EGP121.2 bn, reflecting a growth rate of 15.8%. Private sector deposits surged by about EGP 950 bn, at a rate of 19.9%, reaching EGP573 bn, while family sector deposits increased by  EGP20.8 bn (8.8%), reaching EGP257.2 bn. Public sector deposits also witnessed a growth of EGP5.2 bn (9.9%), reaching EGP 58.1 bn.

As of the end of September 2022, the circulating cash outside the banking system increased by EGP 18.6 bn (2.4%), totaling EGP797.2 bn.

Near money also rose by EGP1954 bn (3.9%) during the same period, reaching EGP5.264 tn by the end of September 2022, up from EGP143 bn (3.5%) in the corresponding period of the previous fiscal year.