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Egypt’s international reserves consist of foreign currencies, gold, special drawing rights (SDR), and net IMF loans. The FX reserves support the local currency, whilst fulfilling the country’s overseas obligations, and guaranteeing Egypt’s imports of basic commodities for several months.
5 industries, including F&B and plastics, acquired 60%, or EGP 41bn, of total used balances granted under initiative, says source
MSME initiative was launched by the CBE in January 2016. It has achieved a record volume in facilities and loans granted by the end of March 2020.
The article includes the payment of salaries for tourism sector workers for a period of three months starting in May 2020. The client must provide proof that salaries due in May have not already been paid.
The cooperation comes as part of the Central Bank of Egypt (CBE) initiative to stimulate e-payments in Egypt, rather than cash exchanges. This is in line with the Egyptian state’s economic vision to achieve sustainable development and transition to a cashless society.
Initiative aims to benefit clients of industrial, agricultural, and contracting private sectors whose annual work volume/revenues amount to EGP 200m or more
Banking sector’s financial position reaches EGP 6.165trn, capital adequacy ratio increases to 18.6% in March 2020
The first tranche of the T-Bills will be offered through 182-day notes valued at EGP 7.5bn, while the second tranche stands at EGP 7.5bn and will be offered through 364-day notes, the CBE said on its official website.
No strong prospects for inflationary pressures off of rising electricity prices or repercussions from exchange rate, says banking expert
The initiative was set up to provide loans at a decreasing interest rate of 8% to private sector companies in Egypt’s industrial, agricultural and contracting sectors.
Net foreign assets decline by EGP 171.5bn in March, foreign investments in Egyptian T-Bills decrease by EGP 37.819bn in Apri
Monetary and fiscal stimulus policies, structural reforms cushion negative consequences of coronavirus on most vulnerable, supports economic recovery once pandemic contained
Last month’s inflation reading below expectations, so interest rates may remain fixed until end of 2020, Pharos expects
The CBE accepted 20 offers worth a total of $509.3m, with interest ranging between 3.42% as the lowest price, 3.45% as the highest price, and 3.446% as an average. This compared to 3.47% as the lowest price and 3.5% as the highest price, and 3.495% as an average in the last similar bid in May.
Proceeds to cover a previous offer worth $715m issued on 11 June 2019
The appreciation in the US dollar also pushed the prices of Arab and foreign currencies up against the pound, as the price of the Euro reached EGP 18.1449 to buy and EGP 18.2605 to sell. The price of the Pound Sterling reached EGP 20.2588 to buy and EGP 20.3794 to sell.
CBE figures also show decrease in surplus of net foreign assets for second consecutive month
The Swiss franc reached EGP 16.5466 for buying and EGP 16.6522 for selling. The Japanese yen recorded EGP 14.7044 for buying and EGP 14.8035 for selling.
New offerings part of government’s plan to issue EGP 610bn T-Bills, bonds until end June
The CBE will issue Treasury Bills and bonds worth EGP 186bn in May, as part of a government plan to borrow EGP 610bn between April and the end of June 2020.
Initiatives are to help Egypt’s economy overcome ongoing pandemic
Annual headline inflation increased due to higher annual food contribution which offset lower contribution of non-food items
We moved quickly to preserve economic gains since launch of national economic reform programme, says CBE
The initiative had initially been set up to provide finance to private sector companies in the manufacturing and agriculture sectors with sales of EGP 50m.
Move is to protect commercial sector and allow it to fulfil obligations
Doss added, “Less working hours have also disrupted production activity possibly leading to relative supply shortages of some goods also posing inflationary pressures.”
Abdel Raouf added that attention must be paid to distributing the funds equally to all contracting sectors companies, regardless of their size.
Financial position of banks operating in local market touches EGP 6trn, deposits and loans rise
Bank honours all of its external obligations amounting to around $1.6bn
25 offers worth $975.4m were accepted