Egypt’s total external debt rose marginally to $163.911 billion at the end of the second quarter of fiscal year 2025/26, reflecting continued reliance on long-term borrowing despite a slight decline in short-term obligations, according to newly released data from the Central Bank of Egypt (CBE).
The latest figures show that external debt increased from $163.713 billion recorded at the end of the first quarter of the same fiscal year, marking a modest rise of nearly $198 million.
Long-term external debt accounted for the bulk of the increase, climbing to $129.490 billion from $128.950 billion in the previous quarter. The shift underscores Egypt’s preference for extending debt maturities as authorities seek to manage financing pressures and reduce short-term refinancing risks.
Meanwhile, short-term external debt declined to $34.421 billion, down from $34.763 billion at the end of the first quarter, indicating a gradual improvement in the structure of the country’s external liabilities.
A breakdown of the debt stock by sector revealed that obligations owed by the government increased to $81.846 billion by the end of 2025, compared with $80.760 billion in the preceding quarter.
In contrast, external liabilities owed by the Central Bank of Egypt decreased to approximately $36.995 billion, down from $37.295 billion during the comparison period.
The banking sector also recorded a decline in its external debt position, with outstanding obligations falling to $23.004 billion by the end of December 2025, compared with $23.563 billion at the end of September.
The latest data highlights a mixed debt profile, with government borrowing continuing to expand while liabilities held by the central bank and commercial banks move lower. Analysts often view a higher share of long-term debt as a positive indicator, as it can reduce near-term repayment pressures and provide greater flexibility for economic management.
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