Egypt's net foreign reserves rose to $34.21 billion in January from $34.16 billion a month earlier, the Central Bank of Egypt (CBE) said on its website on Sunday. It was the ninth straight month-on-month rise, pushing the figure for reserves to its highest level since November 2008. Beltone economist Reham el-Desouqi forecast a further rise citing factors such as recovering capital inflows and stronger earnings from tourism receipts, Suez Canal revenues and worker remittances. "We expect the rise to continue, albeit with varying levels on a monthly basis according to the seasonal performance of the above-mentioned factors," she said. Egypt's reserves include holdings of foreign currencies, gold, special drawing rights and loans to the International Monetary Fund. In a related event, the average yield on Egyptian 182-day treasury bills fell to 10.438 per cent at an auction, compared with 10.516 per cent at last week's auction. The CBE accepted bids worth LE2 billion ($366 million), the same amount it was seeking. It accepted bids at rates between 10.36 and 10.491 per cent compared to a range of 10.249 to 10.58 per cent at the previous auction. The bills are for issue on February 9 and mature on August 10, 2010.
