CAIRO – 10 March 2021: Fitch Ratings affirmed, Wednesday, Egypt's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'B+' with a Stable Outlook. Fitch expected Egypt to hit real GDP growth of 3 percent for the fiscal year of 2020/2021, after achieving 3.6 percent in FY20 and 5.6 percent in FY19. Nevertheless, the CBE maintains that it is committed to exchange rate flexibility, intervening only to mitigate disorderly market movements, according to Fitch. However, it noted that these flows could quickly reverse in response to any confidence shock, putting pressure on Egypt's foreign exchange liquidity, interest rates and the exchange rate. Egypt's net external debt, including non-resident holdings of local debt (at 18% of GDP in FY20) is significantly smaller than the current or forecast 'B' category median.

Source: Egypt Today March 10, 2021 14:03 UTC