logo
Egypt's Trade Deficit Narrows by 29% as Exports Surge

Egypt's Trade Deficit Narrows by 29% as Exports Surge

CairoScene16-05-2025
Egypt's shrinking trade deficit in February 2025 signal a strengthening economy in the face of global market pressures.
May 16, 2025
In February 2025, the Central Agency for Public Mobilisation and Statistics (CAPMAS) recorded a 24.1% year-on-year rise in exports from Egypt, with the trade deficit shrinking by 29.1%. The trade deficit narrowed to USD 2.33 billion, down from USD 3.28 billion in February 2024.
Total exports reached USD 4.43 billion, up from USD 3.57 billion last year, driven by growth in key sectors. Ready-made garments rose 30.6%, petroleum products 12.2%, food preparations (including pasta) 9.3%, and primary plastics 3.4%.
However, some sectors saw declines; fresh fruit exports dropped by 9.9%, fertilizers dropped by 17.2%, potatoes by 5.2%, and iron and steel products - including rods, wires, and corners - fell by 32.3%.
Imports declined by 1.4% to USD 6.76 billion, down from USD 6.85 billion the previous year. Notable increases included petroleum products (up 12.6%), natural gas (up 150.6%), corn (up 40.8%), and soybeans (up 12.9%).
Conversely, wheat imports fell 13.2%, raw iron or steel dropped 33.7%, pharmaceuticals declined 2.9%, and plastics in primary forms were down 6.8%.
The data reflects Egypt's broader strategy to boost exports and rein in imports to ease pressure on foreign currency reserves and bolster economic stability.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

EUR/USD: bullish narrative tested by U.S. trade threats
EUR/USD: bullish narrative tested by U.S. trade threats

Mid East Info

time2 hours ago

  • Mid East Info

EUR/USD: bullish narrative tested by U.S. trade threats

By Daniela Sabin Hathorn, senior market analyst at The EUR/USD currency pair has enjoyed a strong upward trajectory for most of 2025, but recent developments have introduced uncertainty into what had been a well-supported trend. Much of the pair's gains earlier this year were driven by U.S. dollar weakness, but the narrative has become more complex heading into July. Dollar Weakness vs. Euro Strength: At a glance, the euro appears to have outperformed—but much of this strength, particularly against the dollar, has been the result of a softening greenback. The U.S. dollar index has been in decline for much of the year, providing a favourable backdrop for EUR/USD. However, the euro's relative performance against other major currencies like the yen and sterling suggests intrinsic strength as well. That strength stems in part from the European Central Bank's (ECB) proactive policy stance. As one of the first major central banks to begin cutting rates following the COVID-era hikes, the ECB has lowered rates by around 200 basis points over the past 12 months. Unlike the Federal Reserve or the Bank of England, which have adopted a 'wait-and-see' approach, the ECB acted pre-emptively, moving before inflation data confirmed a slowdown. This decisiveness has been well-received by markets, reinforcing confidence in the euro. A Shift in Sentiment: Now, however, the momentum has started to shift. The U.S. dollar has regained some strength, supported by resilient economic data and expectations of tighter fiscal conditions. This comes just as U.S.-EU trade tensions escalate. Talk of 30% tariffs on European goods has triggered concerns about growth in the EU, especially for export-dependent economies like Germany. Policymakers from both Germany and France have publicly warned that such tariffs would be detrimental to transatlantic relations and European economic performance. These developments have weighed on EUR/USD, halting the rally and prompting questions about whether we're seeing a healthy pullback—or the start of a broader trend reversal. While macroeconomic fundamentals still support the euro—growth remains resilient, and inflation is hovering near the ECB's 2% target—the threat of new U.S. tariffs has cast a shadow over the optimistic outlook. On the technical side, the euro remains in a structural uptrend, with a pattern of higher highs and higher lows since the start of the year. However, the pair is now approaching a key inflection point. The last significant high was just above 1.18, while a prior support level around 1.16 could become pivotal. If EUR/USD breaks below this region—particularly if it breaches the rising trendline connecting the year's higher lows—it may signal that the bullish trend is faltering. Still, recent price action suggests strong two-way interest. Despite downside pressure, daily closes have often found support near their opening levels, indicating active participation from both buyers and sellers. This suggests that traders are cautious but not panicking—a pullback, not a panic. EUR/USD daily chart: (Past performance is not a reliable indicator of future results) What to Watch Next: Market focus will remain on two fronts. First, the evolution of trade policy rhetoric between the U.S. and EU will be crucial. If the 30% tariff threat materializes, it could catalyse a sharper sell-off in EUR/USD. On the other hand, signs of diplomatic progress could lift the euro and reinforce bullish sentiment. Second, U.S. inflation data and labour market trends will influence Fed expectations. Strong data may temper expectations for rate cuts, boosting the dollar. Conversely, any softness could renew downward pressure on the greenback, giving the euro room to recover. For now, the EUR/USD trend remains technically intact, with recent moves resembling a healthy pullback rather than a breakdown. But as we approach key support levels and await further clarity on both trade policy and economic data, traders would do well to stay vigilant. Whether this is a pause or a turning point will soon become clear—and the price will tell the story.

60,000 New Homes to Replace Alexandria's Unsafe Buildings
60,000 New Homes to Replace Alexandria's Unsafe Buildings

CairoScene

time8 hours ago

  • CairoScene

60,000 New Homes to Replace Alexandria's Unsafe Buildings

The Ministry of Housing will coordinate with local authorities to secure land and begin preparations for the large-scale project. Jul 15, 2025 Prime Minister Dr. Mostafa Madbouly has directed officials to allocate land for the construction of 60,000 new housing units in Alexandria, with instructions to begin work housing initiative is aimed at residents currently living in buildings deemed structurally unsafe. These properties have already been surveyed and documented in a comprehensive government inventory. The Ministry of Housing will coordinate with local authorities to secure land and begin preparations for the large-scale the visit, Alexandria Governorate presented an update on the city's development progress, noting dozens of completed and ongoing projects valued at EGP 90.5 billion (USD 1.89 billion). Much of this investment has been directed toward transport infrastructure, including the expansion of the Corniche road, ongoing works on the Abu Qir Metro and Raml Tram, and an order to begin converting 200 public buses to natural gas. As Alexandria continues to balance its identity as a historic tourism hub with urgent infrastructure challenges, authorities are also preparing for the 2025 summer season through upgrades to beach facilities and standardised beautification efforts across the city.

Egypt's exports rise 19.8 percent in April, trade deficit narrows to $3.42 billion
Egypt's exports rise 19.8 percent in April, trade deficit narrows to $3.42 billion

See - Sada Elbalad

time8 hours ago

  • See - Sada Elbalad

Egypt's exports rise 19.8 percent in April, trade deficit narrows to $3.42 billion

Basant Ahmed Egypt's trade deficit narrowed by 9.5% in April 2025 to $3.42bn, compared with $3.78bn in the same month a year earlier, as the value of exports surged. The value of exports increased by 19.8% to reach $4.10bn in April, up from $3.43bn in the same month of the previous year, according to the Central Agency for Public Mobilization and Statistics (CAPMAS). This surge was largely driven by a 74.3 percent increase in exports of petroleum products, a 24.7 percent increase in ready-made clothes and an 18.4 percent increase in fertilizer exports. The strong export figures come amid a government push to incentivize industrial production and attract foreign investment through the National Industrial Development Strategy, which aims to advance Egyptian industry, enhance competitiveness and increase exports. This strategy forms part of the urgent industrial development plan, which is a practical, executable step towards localizing industry, deepening domestic manufacturing, transforming Egypt into a regional industrial hub, transitioning to a green economy, and increasing the industrial sector's contribution to GDP and exports, while raising the quality of Egyptian products to the highest standards and improving human resource efficiency. read more CBE: Deposits in Local Currency Hit EGP 5.25 Trillion Morocco Plans to Spend $1 Billion to Mitigate Drought Effect Gov't Approves Final Version of State Ownership Policy Document Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister Qatar Agrees to Supply Germany with LNG for 15 Years Business Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves Business Suez Canal Records $704 Million, Historically Highest Monthly Revenue Business Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday Business Wheat delivery season commences on April 15 News Israeli-Linked Hadassah Clinic in Moscow Treats Wounded Iranian IRGC Fighters News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Videos & Features Tragedy Overshadows MC Alger Championship Celebration: One Fan Dead, 11 Injured After Stadium Fall Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt News "Tensions Escalate: Iran Probes Allegations of Indian Tech Collaboration with Israeli Intelligence" News Flights suspended at Port Sudan Airport after Drone Attacks Arts & Culture Hawass Foundation Launches 1st Course to Teach Ancient Egyptian Language Videos & Features Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream Technology 50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store