Central bank data showed that Egypt’s net foreign assets (NFA) resumed a near year-long decline that had paused in July. Specifically, Egypt’s NFA fell by E£18.06bn (US$925m) in August to E£-385.9bn from E£-367.8bn a month earlier.
Note that the Central Bank of Egypt relies on NFAs, which represent banking system assets owed by non-residents minus liabilities to help support the currency. However, Russia’s invasion of Ukraine, which sparked investor unease, has in part triggered an outflow of funds.
