CAIRO, July 13 – Egypt’s current account deficit widened to $5.1 billion in the January to March quarter, more than double the $2.3 billion recorded in the same period a year earlier, according to data released by the country’s central bank.
The central bank said the wider deficit during the July to March period was mainly due to a larger merchandise trade deficit. However, stronger remittance inflows, higher tourism earnings and increased Suez Canal revenues helped to cushion the impact.
Net foreign direct investment inflows slipped slightly to $3.7 billion during the quarter, down from $3.8 billion a year earlier.
Meanwhile, remittances from Egyptians living abroad rose to $12.8 billion, compared with $9.3 billion in the same quarter last year.
Tourism also brought in more revenue, increasing to $4.2 billion from $3.8 billion a year earlier. Suez Canal receipts climbed to $1 billion, up from $800 million over the same period.
On the trade side, Egypt’s oil import bill increased to $5.7 billion from $4.8 billion a year earlier. Oil exports also rose, though at a slower pace, reaching $1.6 billion compared with $1.2 billion in the corresponding quarter of last year.