CBE: Foreign exchange reserves increase to $41.06 bn by end of April 2024

The Central Bank of Egypt recently revealed that foreign exchange reserves rose by 16.57% during the first 4 months of the current year, recording $41.057 bn by the end of April 2024, compared to $35.220 bn by the end of 2023.

On a monthly basis, foreign exchange reserves increased by 1.72% in last April, rising from $40.361 bn at the end of March 2024 to $41.057 bn by the end of April 2024, an increase of $696mn.

Foreign cash reserves are assets owned by CBE, comprising a basket of foreign currencies, gold, Special Drawing Rights units, as well as the net position at the International Monetary Fund, mostly held in US dollars.

These reserves are used to support the currency, pay off external debts, and secure the country's needs for necessary foreign cash for external economic transactions, such as importing essential goods.

Additionally, these reserves serve as an indicator of a country's economic strength or weakness internationally and regionally. They reflect international confidence in the economy and indicate the country's ability to manage its needs for strategic goods, medical products, medicines, and raw materials.