Egypt’s state banks launch 12.5% interest rate to support EGP
Players in the finance sector commented that the average rates in Egyptian banks are at around 10% nowadays. Most banks are keeping their rates at around these levels in order to support the Egyptian Pound and to take some of the pressure off of foreign currencies. This means that the Central Bank will also need to raise their interest rates when they meet again otherwise these banks will be under low margin pressure.
According to these sources, Egypt’s foreign currency reserves stood at about $36 billion before the 2011 uprising and they were down to $16.4 billion at the end of October despite billions of dollars in Gulf Arab aid since mid-2013.
The official exchange rate for the Egyptian pound stood at 7.9301 against the dollar in October but the rate is still far from Saturday’s black market rate of 8.51 pounds against the dollar.
More free plastics newsPlastic resin (PP, LDPE, LLDPE ,HDPE, PVC, GPS; HIPS, PET, ABS) prices, polymer market trends, and more...
- Supply constraints spark stronger PE trend than PP in global markets
- ABS, PS uptrend falters in China after H1 2020 ends at multi-month highs
- Stats: China’s total PP imports spike in May; Vietnam and India’s rising shares shine out
- Tight supply drives HDPE, LLDPE gains in Southeast Asia
- European PE markets set for 2nd bullish month on rising costs
- Turkey’s PP and PE markets propelled to a firm start to H2 despite vulnerable conditions
- Asian PVC sees V-shaped recovery in Q2, what will Q3 bring?
- Will capacity additions cast cloud on ethylene upsurge in Asia?
- US PVC offers in Egypt rise steadily but resistance grows in tandem
- PE buyers’ resistance grows in SEA; duty-free origins more competitive than Mid-East