Egypt's economy has 'strong' precautionary reserves against external shocks

Egypt enjoys "strong" precautionary reserves that support its economy's capability to face external shocks, said International Monetary Fund's (IMF) Mission Chief for Egypt Subir Lall.

Lall told MENA on Saturday that the impact of the tight global financial conditions on Egypt is relatively weak, at a time that all countries, including emerging markets, have been affected.

Lall attributed that fact to Egypt's success in adjusting its financial conditions as well as the amount of foreign reserves at the Central Bank of Egypt (CBE), in addition to the framework of policies outlined by the government in view of rational public monetary and fiscal policies and keeping a flexible exchange rate.

Earlier, the CBE announced an increase in the net foreign currency reserves by dlrs 1.418 billion at the end of April to hit dlrs 44.029 billion for the first time in history.