The Central Bank of Egypt announced on Monday that remittances from Egyptians working abroad saw a remarkable increase of 73.8% year-on-year in May 2024.
Remittances surged to approximately $2.7 billion in May, compared to about $1.6 billion during the same month in 2023.
On a monthly basis, remittances from Egyptians abroad increased by 26.6% compared to April 2024, when they amounted to around $2.2 billion.
The Central Bank attributed the rise in remittances to a new package of economic reforms implemented by Egypt since March 6, 2024.
A chronic shortage of foreign currency had led to the accumulation of goods in Egyptian ports, among other sectors affected by the crisis.
On March 6, Egypt devalued its currency to around 50 pounds per dollar from the level of 31 pounds, which had been stable for nearly a year. The pound has gradually appreciated since the decision and is trading at 47.87 today, Monday.
Egypt expanded its program with the International Monetary Fund to $8 billion and received unexpected inflows of investments and funding earlier this year, easing the foreign currency shortage that had crippled the economy.
The largest investment inflow came from a deal with ADQ, a sovereign wealth fund of the Abu Dhabi government, which announced a $24 billion investment in exchange for development rights for the Ras El-Hikma project on the northern coast.
The Central Bank of Egypt had previously reported in its balance of payments statement for the first half of the fiscal year 2023-2024, issued in April, that remittances from Egyptians working abroad had decreased by 21.2%, recording about $9.4 billion compared to $12 billion in the same period of the previous year.
