Egypt’s net foreign reserves reached $18.9bn at the end of July, up 26.8 per cent compared with last month, according to the Central Bank of Egypt.

Out of the $12bn pledged by GCC countries, about $5bn is estimated to have arrived in the country during the past month.

The GCC aid has allowed Cairo to meet some of its debt maturities and has helped to stabilise the Egyptian pound against the dollar, which in June depreciated more than 10 per cent compared with a year earlier. However, concerns still remain over the North African country’s high debt burden and its uncertain political situation.

Over the past two years, Egypt’s foreign reserves dwindled from $26.5bn in June 2011 to $14.9bn in June this year, causing panic among foreign investors who have not been able to repatriate their funds. In the absence of a loan from the Washington-based IMF, seen as a signal that the economy is progressing, international investors still hesitate to put funds into Egypt’s economy.