For several days, the exchange market between the US dollar and the Egyptian pound seems to be stabilizing. This stability, particularly observed this Saturday, reflects a recent downward trend, probably linked to the weekend period and reduced activity on the financial markets.
On this specific Saturday, we see the following exchange rates for the dollar:
– Central Bank of Egypt:
Purchase: LE 47.94
Sale: LE 48.08
– National Bank of Egypt:
Purchase: LE 47.94
Sale: LE 48.04
– Banque Misr:
Purchase: LE 47.94
Sale: LE 48.04
– Bank of Cairo:
Purchase: LE 47.94
Sale: LE 48.04
– Bank of Alexandria:
Purchase: LE 47.94
Sale: LE 48.04
– Commercial International Bank (CIB):
Purchase: LE 47.94
Sale: LE 48.04
– Suez Canal Bank:
Purchase: LE 47.95
Sale: LE 48.05
– Abu Dhabi Islamic Bank:
Purchase: LE 48.13
Sale: LE 48.23
As part of the devaluation attempts, the Central Bank of Egypt lowered the value of the pound several times in 2023. This move aimed to alleviate the liquidity shortage and stabilize the Egyptian economy. The devaluation made local products cheaper to export, thus being able to attract more foreign investment. However, this measure led to an increase in the prices of imported products, including essential goods such as food and fuel, thus fueling inflation.
In the context of the request for assistance from the International Monetary Fund, Egypt obtained a loan in 2023 with the condition of implementing economic reforms. Among these reforms was the transition to a more flexible exchange rate system, allowing the market to determine the value of the dollar to some extent.
The recent decline of the US dollar against the Egyptian pound may be due to several factors. It is possible that the effects of these successive devaluations are starting to be felt, or that other economic and political elements are influencing this fluctuation in exchange rates.
In conclusion, this momentary stability in exchange rates between the US dollar and the Egyptian pound raises questions about the resilience of the Egyptian economy in the face of international variables. It remains essential to closely monitor the evolution of this situation and the potential impacts on the country’s economy.