Kuwait Extends $2 Billion Deposit in Egypt for Additional Year

Kuwait renewed its $2 billion deposit at the Central Bank of Egypt (CBE) for another year, according to the External Position Report of the Egyptian Economy released on Wednesday. The deposit, originally set to mature in April 2026, was extended to further support Egypt’s foreign-currency reserves.

The report did not provide updates on another Kuwaiti deposit that had been rolled over in September.

Kuwait currently holds a total of $4 billion in deposits with Egypt’s central bank, split into two tranches: The first tranche, worth $2 billion, is renewed every April, while the second tranche is renewed annually in September.

These deposits form part of a broader framework of coordinated Gulf support aimed at stabilizing Egypt’s financial position during a decade marked by currency pressures, high external financing needs, and global economic volatility.

Over the past ten years, Egypt has received extensive financial backing from Gulf Cooperation Council (GCC) states, including Saudi Arabia, the UAE, Qatar, and Kuwait, through dollar deposits at the CBE, direct investments in local companies, and concessional arrangements for petroleum products.

Egypt’s foreign-exchange reserves stood at a record $50.07 billion as of the end of October 2025, according to mid-November data from the central bank. Several Gulf deposits have already been partially converted into equity investments, while others continue to be rolled over in support of Egypt’s stabilization efforts.

In February, Kuwait’s Emir Sheikh Mishal Al-Ahmad Al-Jaber Al-Sabah met with Egypt’s Prime Minister Mostafa Madbouly in Kuwait to discuss bilateral priorities, with economic cooperation at the forefront.

During the meeting, the Emir received an official invitation to attend the upcoming emergency Arab summit in Cairo.

Madbouly presented a comprehensive overview of Egypt’s efforts to strengthen its investment climate, highlighting reforms intended to attract and safeguard foreign investors despite ongoing regional challenges. He reiterated Egypt’s commitment to supporting Kuwaiti investors and encouraging new investments across strategic sectors.