The Central Bank of Egypt (CBE) is anticipated to maintain its current overnight interest rates during the upcoming policy meeting on Thursday 21, December. This decision is expected despite the forecast of economic reforms following President Abdel Fattah Al-Sisi’s recent re-election for a third six-year term, securing 89.6 percent of the vote. Analysts suggest that Egypt is likely to postpone any potential interest rate hikes or currency devaluation until January. Next Thursday marks the final meeting of the Monetary Policy Committee (MPC) at the Central Bank of Egypt (CBE) for 2023, where deliberations will revolve around the future trajectory of the Bank’s key interest rates—crucial indicators shaping short-term pound interest rates. During the preceding meeting on November 2, 2023, the committee opted to sustain the rates for the second consecutive time: 19.25 percent for deposits, 20.25 percent for lending, and 19.75 percent for the credit and discount rates and the main operation of CBE. Analysts foresee no surprises in this forthcoming meeting, expecting the preservation of existing deposit and lending interest rates. This anticipation is grounded in the continuous deceleration of annual core inflation rates…
Analysts Forecast CBE to Keep Rates Unchanged As Inflation Declines
December 20, 2023
