VenturesNow

Egypt: Foreign debt rises by $3.5 billion in Q4 2023

Published

8 months ago

May 9, 2024

According to data provided by the central bank on Thursday, Egypt’s foreign debt increased by $3.5 billion for the three months ending in December.

The aggregate amount of external debt increased to $168.0 billion, up from $164.5 billion in September and $162.9 billion in December 2022.

Since 2015, Egypt has increased its external debt fourfold to finance the construction of new capital, develop infrastructure, procure weaponry, and sustain an overvalued currency.

Following the Ukraine crisis, there was a persistent lack of foreign currency, leading to a significant departure of international investors. As a result, the government had to seek assistance from the International Monetary Fund. In March, an agreement was reached for a financial package worth $8 billion.

Egypt has consented to reduce expenditures on major government initiatives as a component of the package. According to the central bank, the foreign debt, of which 82.5% was long-term, accounted for 43% of the gross domestic product.

Egypt has been grappling with a foreign exchange issue that has hindered economic activity and resulted in a scarcity of imported goods.

The country’s aim to generate $10 billion within four years by 2022 through private investment in public infrastructure. The nation is divesting assets to bolster the private sector and generate foreign money.

VenturesNow

Moroccan annual inflation rises to 0.8% in November

Published

1 day ago

December 21, 2024

Ifeoluwa Dada

Morocco’s statistics office has confirmed that the country’s annual inflation rate, as determined by the consumer price index, increased from 0.7% in October to 0.8% in November.

Monthly, consumer prices decreased by 0.2% from October.

The primary driver of inflation, food costs, grew by 0.8% compared to the previous year, while non-food inflation climbed by 0.7%. Core inflation, which does not include more erratic items like food, increased 2.6% annually and 0.2% monthly.

According to the central bank, inflation is expected to average 1% this year, down from 6.1% last year.

Despite the Al-Haouz earthquake, a spike in inflation, and worldwide economic challenges, Morocco’s GDP grew by 3.4% in 2023.

A recovery in tourism, robust industrial exports, and rising private consumption—all bolstered by prudent macroeconomic policies—were the main drivers of growth.

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Nigeria’s $42bn foreign reserves enough for 9 months’ imports— Central Bank

Published

2 days ago

December 20, 2024

Ifeoluwa Dada

According to Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), the nation’s $42.01 billion in foreign reserves can cover imports of goods and services for almost nine months.

Cardoso promised Nigerians improved economic fortunes in 2025 while addressing the Senate Committee on Banking, Insurance, and Other Financial Institutions yesterday in Abuja at the presentation of the performance index report.

Cardoso stated: “External Reserves rose from $ 38.35 billion it was on September 30, 2024, to $ 42.01 billion as of December 12, 2024”.

He clarified that third-party receipts in Q3 2024 and revenues from taxes connected to crude oil were the main drivers of the rise in foreign reserves during the specified time.

“We saw remarkable improvements in our trade balance and maintained a current account surplus,” he added.

“Our external reserves level can finance over 9.09 months of import of goods and services or 13.91 months only, higher than the international benchmark of 3.0 months and a robust buffer against shocks”.

On cash shortage, the CBN boss reiterated the N150 million fine against any branch of banks caught illegally distributing new Naira notes to currency hawkers and unscrupulous elements and said the Nigerian economy will improve in 2025 through policies and measures.

He predicted a stronger economic future: “Despite our economy’s challenges, there are clear reasons for optimism.

“The gradual stabilization of the forex market, ongoing banking sector recapitalization, and positive growth trends in key sectors, especially the services sector, indicate a path toward recovery and stability.”