Kuwait Renews Egypt Deposit, Reinforcing Bilateral Ties

Kuwait has renewed its deposit at the Central Bank of Egypt, a move that reinforces ties between the two countries. Kuwait’s ambassador to Egypt Ghanem Saqr Al-Ghanem told Asharq Al-Awsat the extension followed “a thorough study” and reflects Kuwait’s commitment to supporting Egypt’s economy as “a fundamental pillar of Arab and regional security.” He added that relations between the two countries are “at their best.” Al-Ghanem described the decision as “a new step reflecting the strength of the special and strategic relations between the two brotherly countries,” adding it confirms continued Kuwaiti support for Egypt amid regional and international challenges. He noted that the renewal highlights Kuwait’s commitment to Egypt’s economic stability and reflects “deep-rooted ties, shared interests and solidarity in facing regional challenges.” An Egyptian banking expert told Asharq Al-Awsat the extension will bolster foreign currency reserves, support the economy and “shut down rumors” that the deposit would not be renewed. The step underscores strong relations and is likely to enhance future partnership and investment between the two countries, he added. A report by the Central Bank of Egypt on the country’s external position said Kuwait renewed a $2 billion deposit that had been due to mature in September 2025, extending it to September 2026. The report, cited by Egyptian media on Sunday, said Kuwaiti deposits consist of two tranches of $2 billion each. One has been extended to next September, while the other matured in April. The report, which covers the first quarter of the current fiscal year, did not specify whether the April tranche was also renewed. It added that long-term Arab deposits at the central bank stood at $9.3 billion at the end of September 2025, including $5.3 billion from Saudi Arabia and $4 billion from Kuwait, split across two deposits renewed annually in April and September. In December 2025, Kuwait renewed a separate $2 billion deposit for another year through April 2026 to support Egypt’s foreign currency reserves, according to the same report. Banking expert Mohamed Abdel Aal said the latest extension will support Egypt’s economy across key indicators, particularly reserves, and could pave the way for deeper cooperation, whether through continued deposits or converting them into investments that strengthen bilateral partnership.