News

Central Bank of Egypt Floats the Egyptian Pound

Central Bank of Egypt Floats the Egyptian Pound

6895483-money-of-the-world-dollars-euros-russian-roubles-thai-baht-turkish-lira-egypt-pounds-stock-photo

In a surprise morning announcement, the Central Bank of Egypt announced that it has floated the Egyptian pound against all foreign currencies.

“The CBE hereby announces its decision to move, with immediate effect, to a liberalized exchange rate regime in order to quell any distortions in the domestic foreign currency market,” the bank said in a statement.

Against the US dollar, the Egyptian pound was floated to EGP 13.00 per USD 1.00. Selling a US dollar, however, yields EGP 13.50. Prior to the devaluation, the US dollar’s official selling price was EGP 8.88, while the buying price stood at EGP 8.85. On the parallel market, however, the greenback reached an all-time high of EGP 18 earlier this week, before the pound strengthened amid calls for a boycott of the parallel market to drive down the rates.

Following the devaluation, the Commercial International Bank (CIB) has placed the USD buying rate at EGP 13.25 and the selling rate at EGP 14.3, while it place the rate for euros at EGP 14.661 for buying and EGP 15.913 for selling. Other banks have yet to update their websites with the new rates.

The Egyptian pound will be allowed to fluctuate (either positively or negatively) in value by 10 percent for a short period before it is set.

In a separate announcement, the Bank Misr and Al-Ahly announced that buying Egyptian pound certificates will provide customers with an interest rate between 16 and 20 percent, depending on the duration that the certificates are kept.

This story is developing.

IMF 'Welcomes' Egypt's Currency Devaluation
El Baradei Breaks 3-Year Silence on Media Accusations, Violence in Egypt After June 30

Subscribe to our newsletter


News

More in News

Egypt Records 912 COVID-19 Cases, 89 Deaths

Egyptian StreetsJuly 12, 2020

Legendary Egyptian Dancer Mahmoud Reda Dies Aged 89

Egyptian StreetsJuly 10, 2020

Egypt Passes Law Concealing Identity of Sexual Harassment, Assault and Rape Victims

Egyptian StreetsJuly 9, 2020

Ethiopia to Start Filling GERD in July: PM

Egyptian StreetsJuly 8, 2020

Accused Sexual Predator Ahmed Zaki Confesses to Blackmail, Intimidation: Egyptian Public Prosecution

Egyptian StreetsJuly 7, 2020

Egypt’s Minister for Military Production Mohamed El-Assar Dies at 74

Egyptian StreetsJuly 7, 2020

Multiple Egyptian Women File Official Complaints Against Accused Rapist Ahmed Bassam Zaki

Egyptian StreetsJuly 6, 2020

Al Azhar Encourages Victims of Assault to Speak Up, Report

Egyptian StreetsJuly 5, 2020