Egypt’s current account deficit more than doubled to $5.1 billion in the January-March quarter of 2026 from $2.3 billion a year earlier, official central bank data released Sunday showed.
The Central Bank of Egypt attributed the widening shortfall primarily to an expanding merchandise trade gap, as rising domestic demands and import costs outpaced the country’s export performance.
Oil imports surged to $5.7 billion during the three-month period, up from $4.8 billion last year, while petroleum exports only grew slightly to $1.6 billion from $1.2 billion.
Net foreign direct investment inflows also experienced a minor setback, edging down to $3.7 billion compared to the $3.8 billion recorded during the same period in 2025.
Conversely, strong gains in key currency-generating sectors softened the trade blow, driven by a substantial 37.6% surge in remittances from Egyptians working abroad, which climbed to $12.8 billion.
Tourism revenues also provided a crucial economic cushion, rising to $4.2 billion from $3.8 billion, alongside a recovery in Suez Canal receipts, which hit $1 billion up from $800 million.
This fiscal strain emerges despite recent IMF expansions and financial structural adjustments, as regional geopolitical tensions continue to distort key international shipping lanes and trade balances.
