Egypt retains global lead in frozen strawberry exports in '24    Egypt allocates EGP5bn to support MSMEs, entrepreneurs    EGP starts week flat against the US dollar    Egypt, Mexico explore joint action on environment, sustainability    New expansion projects, public-private partnerships to modernize, localise industry: El-Shimy    Al-Sisi attends high-level African summit to strengthen continental coordination, regional integration    Al-Wazir inaugurates glass factory, lays foundation stone for new appliance plant at Elaraby Group    Egypt, Mexico discuss environmental cooperation, combating desertification    Egypt launches anti-drug awareness campaign for drivers    HDB expands national footprint with 'Acacia' branch in New Cairo    Lavrov warns against anti-Russia alliances in Asia during North Korea visit    Germany faces recruitment hurdles in push to rearm, eyes conscription    Needle-spiking attacks in France prompt government warning, public fear    Foreign, housing ministers discuss Egypt's role in African development push    Egypt's EDA, Haleon discuss local market support    Korea Culture Week in Egypt to blend K-Pop with traditional arts    Egypt, France FMs review Gaza ceasefire efforts, reconstruction    CIB finances Giza Pyramids Sound and Light Show redevelopment with EGP 963m loan    Greco-Roman tombs with hieroglyphic inscriptions discovered in Aswan    Egypt reveals heritage e-training portal    Three ancient rock-cut tombs discovered in Aswan    Egypt condemns deadly terrorist attack in Niger        Sisi launches new support initiative for families of war, terrorism victims    Egypt's GAH, Spain's Konecta discuss digital health partnership    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Egypt's Irrigation Minister urges scientific cooperation to tackle water scarcity    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    Egypt's Democratic Generation Party Evaluates 84 Candidates Ahead of Parliamentary Vote    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Cabinet approves establishment of national medical tourism council to boost healthcare sector    Egypt's PM follows up on Julius Nyerere dam project in Tanzania    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Egypt's capital inflows fell by half in FY2019/20, CBE
Published in Amwal Al Ghad on 02 - 12 - 2020

Net inflows of the capital and financial account dropped by half to $5.4 billion in FY2019/20, down from the $10.9 billion registered in FY2018/19, according to the Central Bank of Egypt (CBE).
In a report on the balance of payments performance in FY2019/20, the CBE attributed this decline in net inflows to the decrease in total inflows of Foreign Direct Investments (FDIs) in FY2019/20 from $16.4 billion in FY2018/19 to $15.8 billion – a 3.4 percent decline.
Meanwhile, according to the report, total outflows rose by 2.8 percent to $8.4 billion in FY2019/20 from $8.2 billion in FY2018/19.
These updates resulted in a contraction of 9.5 percent in net inflows of FDIs headed to Egypt in FY2019/20 to $7.5 billion from $8.2 billion in FY2018/19.
Moreover, the report showed that net investments in the oil sector declined by 68.2 percent in FY2019/20, reaching a low of $1.1 billion.
It also revealed that investments in the non-oil sector witnessed a contraction worth $383.4 million in FY2019/20 to $1.1 billion.
This contraction was due to the decline in Greenfield investments projects, which dropped by $280.9 million; the drop in the real-estate investments in the domestic market, which contracted with $ 159.4 million; the increase in retained earnings, which recorded $4 billion; and the growth in credit balances surplus, which posted $1.2 billion.
As a result of the pandemic, portfolio investment saw outflows with a total of $7.3 billion in FY2019/20, compared to total net inflows of $4.2 billion that were recorded in FY2018/19.
Meanwhile, disbursements of medium and long-term loans and facilities increased by $2.4 billion, reaching around $6.6 billion, up from the $ 4.2 billion in FY2018/19.
On the investment income deficit, the report demonstrated that it slightly grew by $344.4 million, reaching $11.4 billion in FY2019/20, up from $11.0 billion in FY2018/19. At the same time, investment income receipts shrank by $72 million to $942.1 million.
On the other hand, the non-oil trade deficit was narrowed by $2 billion in FY2019/20 to record $36 billion, down from $38 billion in FY2018/19. This was a result of the pickup in non-oil merchandise exports that rose by $1 billion to $17.9 billion and the retreat in non-oil merchandise imports to $53.9 billion, down from $55 billion.
Since the beginning of the impact of the COVID-19 pandemic around the second half (H2) of FY2019/20, the report showed that there was a deficit in the balance of payments of $9 billion during this period, compared to an overall surplus of $1.7 billion in the same period of FY2018/19.
The report attributed the drop in services surplus, which fell by half from $5.8 billion in the same period of FY2018/19 to $2.7 billion in H2 of FY2019/20to $2.6 billion – a 54.9 percent decline.
In addition, FDIs in Egypt contracted by 38.4 percent to $2.5 billion in H2 of FY2019/20 from $4.1 billion in H2 of FY2018/19, according to the report


Clic here to read the story from its source.