The fluctuations of the Egyptian pound against the US dollar exchange rates in 2025: an in-depth analysis of the current economic situation
The year 2025 has been marked by significant developments in the field of exchange rates, especially with regard to the Egyptian pound against the US dollar. This recent rise of the Egyptian currency above the threshold of 50 Egyptian pounds to the dollar represents a historic turning point in the financial history of the country. Data published on the official websites of several local banks confirmed this trend, reflecting constantly changing exchange rates.
Various banks have reported an increase in the prices of the dollar. For example, the National Bank of Egypt set the buying rate at 49.93 Egyptian pounds and the selling rate at 50.03 Egyptian pounds, an increase of 17 piastres. Similarly, the Bank of Egypt recorded a buying rate of 49.85 Egyptian pounds and a selling rate of 50.03 Egyptian pounds, also up 17 piastres.
Other banks, such as the Commercial International Bank (CIB), Bank of Cairo, Abu Dhabi Islamic Bank and HSBC, also saw substantial increases in their dollar exchange rates.
According to Sahar El-Damaty, former vice president of the Bank of Egypt, this rise is explained by several factors, including increased demand due to the approach of the month of Ramadan and the government’s push to expand the industrial base, requiring the import of raw materials. In addition, year-end procedures aimed at regulating the positions of some companies in foreign currencies contributed to this upward trend.
El-Damaty mentioned a possible decline in the value of the dollar in January and February 2025, with rates potentially fluctuating between 49 and 49.5 Egyptian pounds. However, she warned that the current rise in the dollar could lead to an increase in the prices of some goods.
Mohamed El-Etreby, CEO of the National Bank of Egypt and Chairman of the Federation of Egyptian Banks, described the fluctuations in the dollar as indicators of a flexible exchange rate system in the domestic market. He stressed that these movements do not represent a new devaluation of the Egyptian pound.
El-Etreby assured the public that the Egyptian banking system is solid and capable of meeting various demands for foreign currency. Despite these fluctuations, the country’s economic foundations remain strong and financial stability is preserved.
In conclusion, the year 2025 is proving to be a tumultuous period for the foreign exchange markets in Egypt, with significant fluctuations in the US dollar against the Egyptian poundThe country’s financial authorities are closely monitoring the situation and implementing measures to stabilize the market and preserve economic balance in a changing global context.