UAE and Egypt renew $1.4bn currency swap agreement

The central banks of the UAE and Egypt have renewed their currency swap agreement for a further five years.

The renewed agreement remains worth AED5 billion ($1.4 billion) and is intended to promote bilateral trade and deepen financial cooperation, the UAE state-run Wam news agency reported.

UAE central bank governor Khaled Mohamed Balama said the renewal would support financial stability and facilitate bilateral trade and investment flows.

The two countries first signed a AED5 billion currency swap agreement in September 2023.

Bilateral trade reached nearly $10 billion in 2025, up 62 percent year on year, according to data published on the UAE’s foreign affairs ministry website.

Egyptian exports to the UAE more than doubled to $7 billion in 2025, while imports from the Emirates reached almost $3 billion.

Further reading:

• UAE approves sale of Egypt’s Banque Misr branches
• Egypt says 90% of state bank’s debt is settled
• UAE central bank’s seat at the dollar table

In April, the central banks of the UAE and Bahrain signed a AED20 billion currency swap agreement to promote the use of local currencies in cross-border trade and investment.

The UAE and China renewed their $4.9 billion currency swap agreement for five years in November 2023.

In April, the Emirates informally asked the US about a currency swap agreement that would allow it to exchange dirhams for dollars if the Iran war caused longer-term economic challenges.

Egypt is preparing to unveil a foreign direct investment (FDI) strategy with 1,330 opportunities across 16 industrial sectors, according to investment and foreign trade minister Mohamed Farid.

Abu Dhabi sovereign wealth fund ADQ’s $35 billion investment in the Ras El Hekma mega-development is one of Egypt’s biggest FDI deals.