The reserves declined to $22.1 billion from $24 billion in September, the lowest level since December 2005, according to central bank data. Reserves peaked at $36 billion in December, a month before the start of a revolt that toppled Mubarak.
“The decline is much higher than expected,” said Mohamed Abu Basha, a Cairo-based economist at EFG-Hermes Holding SAE. “It is very surprising.”
The Egyptian economy is struggling to recover from the aftermath of this year’s turmoil, as tourists shun the country and factory output is hit by strikes. Gross domestic product grew 1.8 percent in the fiscal year that ended in June, compared with 5.1 percent in the previous 12 months, according to government figures.
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