(MENAFN- Daily News Egypt) The Central Bank of Egypt (CBE) announced that net foreign assets (NFAs) in the banking sector rose to $22.656bn, equivalent to EGP 1.070tn, in October 2025, compared to $20.783bn (around EGP 996.148bn) in September.

According to the CBE's monthly report, total foreign assets held by the banking system-which includes the central bank and commercial banks-reached EGP 4.366trn in October, up from EGP 4.318trn in September. Foreign liabilities fell slightly to EGP 3.295trn, down from EGP 3.322trn the previous month.

Net foreign assets represent the difference between the banking sector's foreign-currency assets-such as deposits and securities-and its foreign-currency liabilities. A positive NFA balance indicates that the sector's foreign-currency holdings exceed its obligations, while a negative balance reflects the opposite.

Egypt's banking sector slipped into negative NFA territory in February 2022 amid a foreign-currency shortage triggered by the Russia–Ukraine war and global inflationary pressures. It remained negative until May 2024, when the balance returned to surplus following the Wisdom Capital transaction.

Banking expert Mohamed Abdel Aal attributed the recent rise in NFAs to stronger foreign-currency inflows, particularly from remittances, exports and tourism.

He underscored the importance of maintaining growth in net foreign assets, noting that a sustained surplus enhances confidence in the banking system, strengthens its ability to meet domestic and external obligations, and supports the financing needs of corporates, importers and individual customers. Abdel Aal added that continued inflows also encourage greater foreign investment in government debt instruments and help reinforce the Egyptian pound against the US dollar.

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