S&P affirms Egypt’s ‘B/B’ ratings as policy response cushions regional shocks

S&P Global Ratings has affirmed Egypt’s long-term and short-term sovereign credit ratings at 'B/B' with a stable outlook. The decision follows policy interventions implemented by the Egyptian government to mitigate the economic consequences of ongoing regional conflicts. The agency noted that these measures have been effective in stabilizing the nation's financial position.

Key factors supporting the rating include a recovery in foreign-exchange buffers, which has helped the country navigate recent economic pressures. Despite these improvements, the report highlights that Egypt has experienced significant financial volatility, specifically noting that foreign portfolio outflows reached $9.5 billion.