The price of the US dollar decreased against the Egyptian pound, at a value of 3 piasters in the Commercial International Bank, while it decreased by one penny in the Central Bank of Egypt, while it stabilized in the National Egyptian banks, Egypt and Cairo.
While the official price announced by the Central Bank of Egypt, for a dollar, was recorded about 15.65 pounds for purchase, 15.79 pounds for sale, while the average selling price was about 15.67 pounds for purchase, 15.77 pounds.
During the year 2020, the Egyptian pound was able to maintain its strength, which it regained over the past years, despite the crisis of the Coronavirus Covid 19 pandemic, which struck many currencies around the world, especially the currencies of emerging markets.
The proactive measures and decisions taken by the Central Bank of Egypt, in cooperation with the government, succeeded in preserving the stability of the Egyptian currency, due to several factors, which the Akhbar Al-Youm portal lists during the report.
Despite the global and local challenges resulting from the Corona pandemic crisis, the Egyptian pound recorded the strongest performance among emerging market currencies during 2020 against the US currency – the US dollar, according to reports of international and local institutions.
The International Monetary Fund praised the monetary policy implemented by the Central Bank of Egypt, which is characterized by an appropriate facilitative nature, pointing out that the exchange rate of the Egyptian pound has increased to a limited degree in the wake of the increase in capital inflows, stressing that the continued flexibility of the exchange rate helps to absorb external shocks. The Egyptian banking system enjoys liquidity, profitability and good capitalization.
The Egyptian pound rose against the US dollar during 2020 by 2.25%, while other emerging market currencies lost between 2% and 30% against the US currency.
The price of the US dollar decreased by a value that ranged between 29 and 32 piasters against the Egyptian pound during the year 2020, as a result of the increase in dollar flows from international funds through investment in Egyptian treasury bills and bonds, in addition to the decline in the volume of Egyptian imports.
The high rate of return on the local currency – the Egyptian pound – was among the factors that contributed to preserving the gains of the Egyptian pound, and worked to attract foreign investors to invest in the Egyptian currency, especially since the currency rate is determined according to the forces of supply and demand since the liberalization of the Egyptian pound exchange rate against currencies. The Foreign Ministry was fully edited in November 2016.