Finance Egypt posts current account surplus as imports plunge By Reuters October 5, 2023 Pexels/Christyn Reyes Receipts from tourism jumped to $3.32 billion in the April-to-June quarter from $2.55 billion a year ago Egypt’s current account turned to a surplus in the April-to-June quarter as imports plunged and revenue from tourism and the Suez Canal rose, its second quarterly surplus in less than a year, the central bank said on Wednesday. Egypt devalued its currency by more than half in the year to March, making imports more expensive. It has imposed import restrictions to remedy an acute shortage of foreign currency. The $557 million surplus reversed a $3.49 billion deficit in January-March, the central bank said in a statement. Egypt in October-December 2022 recorded a surplus of $1.40 billion, its first in years. Imports tumbled to $16.18 billion from $17.55 billion in January-March and $21.30 billion in the year-ago period. Exports slipped to $8.57 billion from $9.55 billion in January-March and $11.44 billion in April-June 2022. Receipts from tourism jumped to $3.32 billion from $2.55 billion in the year-ago quarter, while Suez Canal revenue climbed to $2.54 billion from $1.91 billion. Remittances from Egyptians working abroad, however, plummeted to $4.63 billion from $8.29 billion in April-June 2022. Many Egyptians abroad, anticipating an imminent currency devaluation, have been holding back their earnings or transferring them unrecorded to Egypt on the black market, analysts say.
