The exchange rate of the dollar against the Egyptian pound rose slightly at the end of trading on Tuesday, as it continues its movement around the level of 49 pounds, this comes in conjunction with the disclosure of important data from the Central Bank of Egypt.
Low external debt
Data released by the Central Bank of Egypt (CBE) on Tuesday showed that Egypt’s external debt decreased by $ 7.4 billion during the first quarter of 2024.
According to CBE data, Egypt’s total external debt fell to $160.6 billion by the end of March, compared to $168 billion at the end of December and $164.5 billion at the end of September.
In March, Egypt struck an $8 billion support agreement with the International Monetary Fund, pledging to maintain exchange rate flexibility. Egypt received the first tranche of $820 million in funding in March, with the rest to be disbursed in semi-annual tranches until September 2026.
Withdrawal of liquidity
The Central Bank of Egypt (CBE) has withdrawn EGP 1.058 trillion worth of cash from 31 banks at 27.75% interest rates through the linked deposit mechanism, according to data published on the CBE’s website.
31 banks submitted offers worth EGP 1.058 trillion on Tuesday, and all offers were accepted 100%. The central bank is scheduled to hold these funds until August 27.
In another context, CBE data showed that reserve money rose to EGP 1.99 trillion by the end of July, an increase of more than EGP 303 billion, and bank deposits increased by 29% during the same period.
However, the yield on T-bills ignored the increasing demand from foreign investors in recent days, with the yield exceeding 29% in yesterday’s 3-month tender, compared to 28.3% in last week’s bid.
This is the highest increase in government tender interest since the exchange rate was liberalized in March, after it ranged between 26.75 and 27% in recent months.
Dollar today against the Egyptian pound
The price of the US dollar in Egypt continued its movement at the level of 49 against the Egyptian pound in Egyptian banks during today’s trading.
The highest price of the dollar against the Egyptian pound was recorded at the National Bank of Kuwait, reaching levels of 48.87 for buying and 48.97 for selling.
At the Central Bank, the dollar recorded today the level of 48.8070 pounds for buying, and 48.9436 for selling. Yesterday, the dollar hit 48.7159 for buying and 48.8531 for selling.
What stock should you buy in your next trade?
The computing forces of artificial intelligence are changing the stock market. ProPicks from Investing.com are 6 winning stock portfolios chosen by our advanced AI. In 2024 alone, ProPicks’ AI identified two stocks that jumped more than 150%, 4 more that jumped more than 30%, and another 3 stocks that jumped more than 25%. What is the arrow with the next jump?
