In a groundbreaking move to support its diaspora, Egypt’s Ministry of Foreign Affairs, in collaboration with the Central Bank of Egypt (CBE), has announced a new initiative designed to streamline banking processes for Egyptians living overseas. This initiative enables expatriates to open bank accounts directly through Egyptian embassies and consulates, a significant step toward enhancing financial accessibility and convenience.
Nabil Habashy, the deputy minister of foreign affairs for emigration and Egyptian expatriates’ ambassador, outlined the process, stating that Egyptians abroad can now open accounts at any Egyptian bank of their choice through the nearest diplomatic or consular mission. The embassies and consulates will authenticate each citizen’s signature, which will be further verified by Egypt’s authentication offices. Once processed, the respective bank will open the account, ensuring that clients do not need to physically visit a bank in Egypt for verification.
Minister of Foreign Affairs Badr Abdelatty emphasized the active role diplomatic and consular missions will play in delivering this service, underscoring the government’s commitment to facilitating essential services for Egyptians abroad in collaboration with relevant government bodies.
The initiative is set to be rolled out initially in 20 countries with substantial Egyptian communities. Continuous coordination is taking place with CBE officials to ensure a smooth and efficient implementation.
This strategic move is expected to encourage Egyptians abroad to invest their savings in Egyptian financial products, making money transfers to Egypt more convenient and efficient. The Central Agency for Public Mobilization and Statistics (CAPMAS) reports that the number of Egyptian expatriates reached 11.09 million by the end of 2023, highlighting the potential impact of this initiative.
The initiative aligns with Egypt’s broader efforts to modernize its financial infrastructure and promote digital transformation. In December, the CBE launched a new service facilitating the instantaneous receipt of inbound remittances, which are immediately credited to customers’ bank accounts via the CBE’s instant payment network (IPN). This marks a significant milestone in Egypt’s journey towards becoming a cashless society.
Expatriate remittances are a vital contributor to Egypt’s GDP and a primary source of foreign exchange inflows. The latest data from the CBE shows a remarkable 42.6% increase in remittances from Egyptian expatriates, rising to approximately $20.8 billion in the first nine months of 2024, compared to $14.6 billion during the same period in 2023.
As Egypt continues to innovate its financial services, this initiative represents a transformative step in engaging the diaspora and integrating them into the nation’s economic fabric. By simplifying banking processes and encouraging investment, Egypt is setting a forward-thinking precedent in leveraging its global citizenry for mutual economic benefit. This initiative is poised to reshape financial interactions for millions of Egyptians abroad, fostering a stronger connection with their homeland.
