The Central Bank of Egypt (CBE) expects real gross domestic product (GDP) growth to accelerate at a faster-than-previously estimated pace, with the economy forecast to expand by an average of 5.1% and 5.5% in fiscal years (FYs) 2025/2026 and 2026/2027, respectively, as per the Monetary Policy Report for Q4 2025.

The Central Bank of Egypt (CBE) said its net foreign assets rose to $15.013 billion, equivalent to EGP 705.083 billion, by the end of January 2026, up from $13.3 billion, or about EGP 634.856 billion, at the end of December 2025.

Egypt’s external position is showing growing resilience, supported by rising foreign reserves, improving foreign asset balances, and easing risk premiums, according to a research note by HC Securities.

Egypt’s annual headline inflation rate eased to 10.1% in January 2026, sharply down from 23.2% in the same month of 2025, according to data released by the Central Agency for Public Mobilization and Statistics (CAPMAS).

Allianz Trade Economic Research has upgraded Egypt’s short-term country risk rating to D3 in its 2025 Country Risk Atlas report, reversing a downgrade to D4 in last year’s report following the liquidity pressures seen in 2024.

The Central Bank of Egypt (CBE) has issued EGP 5 billion in sovereign sukuk, with a fixed return and a tenor of three years.

The International Monetary Fund’s (IMF) executive board will meet at the end of the month to consider approving the fifth and sixth reviews of Egypt’s $8 billion Extended Fund Facility (EFF) program, as stated by IMF Managing Director Kristalina Georgieva.

Egypt is targeting sustainable annual economic growth of between 6% and 7%, driven primarily by increased investment and foreign direct investment, Minister of Investment and Foreign Trade Hassan El-Khatib said during a meeting with a delegation from Moody’s Investors Service to review the country’s economic and institutional reform agenda.

Business activity across Egypt’s non-oil private sector continued to expand at the start of the year, extending the current growth sequence seen since late 2020, although overall operating conditions weakened slightly as demand slowed.

The US Federal Reserve kept interest rates unchanged during its first meeting in 2026, maintaining its benchmark rate in the 3.50% to 3.75% range, according to a statement by the Federal Open Market Committee (FOMC).

The Monetary Policy Committee (MPC) of the Central Bank of Egypt (CBE) decided to cut its key policy rates by 100 basis points at its final meeting of 2025, citing its assessment of inflation developments and the economic outlook.

Prime Minister Mostafa Madbouly said there will be no new burdens on Egyptian citizens until the end of the country’s economic reform program with the International Monetary Fund (IMF), stressing that the remaining targets under the program do not include measures that would affect households.

Financing granted by entities regulated by the Financial Regulatory Authority (FRA) exceeded EGP 1 trillion for the first time, reaching EGP 1.1 trillion during the period from January to October 2025.

The International Monetary Fund (IMF) has reached a staff-level agreement with Egypt on the fifth and sixth reviews under the Extended Fund Facility (EEF) and the first review under the Resilience and Sustainability Facility (RSF).

Egyptian exports grow during the first 11 months of 2025 by 18% to approximately $44.392 billion, from about $37.544 billion during the same period in 2024, as per a statement by the Egyptian Ministry of Investment and Foreign Trade.

Reducing public and external debt, along with easing the burden of debt servicing, remains a primary objective for the Egyptian government during the current phase, Prime Minister Mostafa Madbouly said during the meeting of the External Debt Management and Borrowing Regulation Committee on December 16th.

The US Federal Reserve reduced the target range for the federal funds rate by a quarter of a percentage point to between 3.5% and 3.75%, marking its first rate cut after months of economic uncertainty and mounting concerns about employment.

Arab Finance: Egypt’s annual core consumer price index (CPI) inflation recorded 12.5% in November 2025, lower than 12.1% last October.

The net international reserves (NIR) of Egypt amounted to $50.216 billion at the end of November 2025.

Egypt’s annual headline inflation reached 10.0% in November 2025, versus 10.1% during October, the Central Agency for Public Mobilization and Statistics’ (CAPMAS) data showed.