Dollar Weakens Slightly Against Egyptian Pound Across Major Banks

The U.S. dollar retreated against the Egyptian pound at the close of trading on Wednesday, across most banks operating in Egypt’s local banking market, reflecting modest shifts in foreign currency flows and liquidity conditions.

Data released by the Central Bank of Egypt (CBE) showed that total foreign currency deposits in the banking sector declined to the equivalent of EGP 2.948 trillion by the end of January 2026, compared with EGP 3.003 trillion at the end of December 2025. The drop suggests a slight contraction in hard-currency holdings within Egyptian banks.

Despite the decline in foreign currency deposits, Egypt’s central bank reported an increase in net foreign assets, which rose by $4 billion during January, reaching approximately $29.5 billion, equivalent to about EGP 1.385 trillion. This represents a significant improvement compared with roughly $25.5 billion recorded at the end of 2025.

The increase in net foreign assets indicates stronger external liquidity at the central bank level, a factor that can support currency stability and bolster investor confidence in Egypt’s financial system.

Another key development supporting foreign currency inflows has been the surge in remittances from Egyptians working overseas. According to official figures, remittance flows reached a historic high in 2025, climbing 40.5 percent to approximately $41.5 billion, compared with $29.6 billion in 2024.

Economists view remittances as one of the most critical sources of foreign currency for Egypt, helping to offset pressure on the balance of payments and stabilize the local currency.

In parallel with improving external inflows, Qatar has continued to expand its investment footprint in Egypt. The real estate developer Qatari Diar Real Estate Investment Company received approximately $3.5 billion as part of a broader $7.5 billion Qatari investment commitment.

The funds are tied to the development of a luxury real estate and tourism project in the Al-Alamein region on Egypt’s northwestern Mediterranean coast, specifically in the Al-Rum area, which has become a focal point for high-end tourism and resort development.

Dollar Exchange Rates in Egyptian Banks

At the close of trading, the U.S. dollar traded within a relatively narrow range across Egyptian banks:

Abu Dhabi Islamic Bank:

Buy: 52.05 EGP

Sell: 52.15 EGP

Next Bank:

Buy: 52.05 EGP

Sell: 52.15 EGP

MID Bank:

Buy: 52.02 EGP

Sell: 51.92 EGP

Suez Canal Bank:

Buy: 51.96 EGP

Sell: 52.06 EGP

Kuwait Finance House:

Buy: 51.96 EGP

Sell: 52.06 EGP

Arab International Bank, Commercial International Bank, Banque Misr, and National Bank of Egypt recorded similar levels around:

Buy: 51.92 EGP

Sell: 52.02 EGP

Euro Exchange Rates

Meanwhile, the euro traded near 60.17–60.72 Egyptian pounds across the banking sector.

Arab International Bank:

Buy: 60.46 EGP

Sell: 60.67 EGP

Qatar National Bank:

Buy: 60.18 EGP

Sell: 60.68 EGP

Banque Misr and National Bank of Egypt:

Buy: 60.17 EGP

Sell: 60.67 EGP

Market Outlook

Financial analysts note that the relative stability of exchange rates reflects a balance between foreign currency inflows, such as remittances and foreign investment—and ongoing demand from importers and businesses.

With record remittances, rising net foreign assets, and new Gulf investments entering the market, Egypt’s banking sector appears to be maintaining a degree of stability in the foreign exchange market despite broader economic pressures.