Investing.com – Today, Monday, the exchange rates of the dollar against the pound witnessed a new decline in the value of the Egyptian currency, according to official data of the exchange rates monitor at the Central Bank.
Meanwhile, the Egyptian President, Abdel Fattah El-Sisi, made a number of important statements, some of which dealt with the dollar crisis that has been hanging over the Egyptian economic scene recently.
Why did the dollar rise in Egypt to 32 and then decline?
According to data from the Central Bank of Egypt, the exchange rate of the pound fell against the dollar today, Monday, by 3 piasters, to record levels of 29.92 pounds for sale and 29.83 pounds for the dollar for purchase.
And in the national banks, the National Bank of Egypt and Banque Misr, the exchange rate of the dollar increased by 3 piasters, at levels of 29.82 pounds per dollar, and levels of 29.72 pounds per dollar, during Monday’s trading.
In private banks, the exchange rate rose by 3 piasters, to levels of 29.92 pounds per dollar for sale, and levels of 29.82 pounds per dollar for purchase, during Monday’s trading.
Last Thursday, the pound fell in private banks by 20 piasters, to record the exchange rate of the dollar against the pound, at levels of 29.9 pounds per dollar for sale and levels of 29.8 pounds per dollar for purchase.
The pound’s limited declines coincide with obtaining Russian support, after the decision taken by the Russian authorities last week to include the Egyptian pound in the basket of currencies traded on the Moscow Stock Exchange.
According to the news, Moscow and Cairo are likely to soon reach an agreement that would allow Egypt to save nearly $5 billion in grain imports between Russia and Egypt.
According to economists, this decision will contribute to a strong boost to the economy, easing pressure on the dollar and its demand, as it is linked to many products that the Egyptian state imports from abroad.
This decision, if taken with the previous decision regarding the inclusion of the Egyptian pound, will reduce the demand for the dollar and its price will decrease even more, especially if other countries take such decisions.
The Egyptian president said, according to the text of the speech on Monday:
The developments of the international scene during the past few years have brought to the whole world – and we are a part of it – very complex events that began with the “Corona” pandemic, then the “Russian-Ukrainian” crisis, which have not occurred in decades and now herald major changes, at the international geopolitical and economic levels. .
– Our preoccupation, from the beginning, was how to mitigate the effects of global crises on the Egyptian interior, and my continuous directives to the government were to bear the bulk of the burdens and costs of the crisis and not to burden citizens, to the best of our ability.
– I know that the effects of the crisis are great, and that it causes pain to the people, especially those with limited income and the most needy groups who are engaged in an enormous daily struggle. And it won’t change.-
The Egyptian president said about the misleading claims that are being repeated, aiming to portray the economic crisis as a pure matter and as a result of the state’s economic policies, national and development projects.--
The president asked a number of questions:
Is there an economic crisis, violent and unprecedented, in the world or not?
Are the largest and most advanced economies in the world suffering, in a way that we have not seen for many decades, perhaps since the times of the Great Depression and the two world wars, or not?
Didn’t those repercussions result in what is now known internationally as the “global cost of living crisis”?
– Isn’t it logical, natural, or even inevitable, that this crisis will reflect on us in Egypt, and have great negative repercussions, while we are part of the global economy, and our integration into it has increased strongly over recent decades?
While the president’s answer came as follows:
First: The reality of Egypt and its economic and demographic conditions make it imperative for us to take huge developmental leaps in a short time. In fact, we are in a race against time to overcome the dangers and repercussions of the population explosion.
Second: The major development projects that the state is implementing do not aim to show off or show off, but rather to establish the investment environment and necessary infrastructure to achieve comprehensive economic development that raises the standard of living of all people.
It is impossible – in one word – to embark on the path of modern industrialization and massive export, without the presence of the necessary elements to achieve this, including cities, roads, a transportation network, technology, electricity, water, sanitation and all components of the infrastructure, which Egypt lacked at the level required to achieve the dreams of its people in progress. and boom.
Third: The dollar gap crisis is not born today or this period, but rather has a recurring pattern, which can be monitored by specialists. Its essence is the weakness of our production and export capabilities, and the increase in our demand for dollar goods and services. Therefore, increasing production and export is a pivotal issue for Egypt, and we know that, and we are working to achieve it with maximum effort and energy.
Stay informed about the market..and keep the news of the economy always close to you
Investing offers a comprehensive economic service of live data, streaming news, real-time alerts, private portfolios and tools to track your investment on our website or app.
You can follow us on all social media: