CBE: Domestic credit grows by 21%, recording EGP 9.2 tn during 7M-2023

The latest monthly statistical report from the Central Bank of Egypt, published on its official website, revealed a 21.02% increase in domestic credit during the first 7 months of the current year, reaching EGP 9.22 tn by the end of July 2023, compared to EGP7.62 tn by the end of 2022, an increase of EGP1.60 tn.

Domestic credit increased at a monthly growth rate of 5.47% in July, rising from EGP 8.74 tn at the end of the first half of 2023 to EGP9.22 tn by the end of July 2023, indicating an increase of EGP478.4 bn.  

Local credit represents the banking system's requirements from local sectors, including investment in securities and credit facilities (in local and foreign currencies) granted to these sectors by the banking system. This includes net government requirements, public, private, and family sectors, as well as domestic credit in both local and foreign currencies.

Net government requirements increased by EGP1.25 tn, growing at a rate of 24.94% during the first 7 months of the current year, reaching EGP 6.28 tn by the end of July 2023, compared to EGP5.03 tn by the end of December 2022. This growth is driven by the rise in the public sector, increasing from EGP159.03 bn at the end of 2022 to 178.5 EGPbn by the end of July 2023, with a growth rate of 12.24% and an increase of EGP 19.5 bn.  

The value of credit for the private sector increased by a growth rate of 15.06%, with an increase of about EGP 250.2 bn, reaching EGP1.91 tn by the end of July 2023 compared to EGP1.66 tn by the end of 2022.  

As for domestic credit in the local currency, it increased by a growth rate of 15.32%, reaching EGP6.99 tn from January to July 2023, compared to EGP 6.06 tn by the end of December 2022, achieving an increase of about EGP928.9 bn.

Regarding domestic credit in foreign currency, it jumped by a growth rate of 43.28%, with an increase of EGP 672 bn from January to July of the current year, reaching EGP 2.22 tn by the end of the first 7 months of the current year, compared to EGP 1.55 tn by the end of December 2022.