Cairo – Mubasher: The Central Bank of Egypt (CBE) has given its directives to banks operating in the country in order to lift spending limits on credit cards in all foreign currencies.
This step aims at endorsing the stability of the local exchange market, while being part of the broader economic reform programme that is carried out in collaboration between the CBE and the Egyptian government and in support of bilateral and multilateral partners.
Earlier today, 6 March 2024, the Monetary Policy Committee (MPC) of the CBE held a special meeting during which it decided to increase interest rates by 600 basis points (bps) or 6%. The central bank hiked the overnight deposit and lending rates at 27.25% and 28.25%, respectively. In addition, the rate of the main operation was also raised at 27.75%.
Following the meeting, the official rate of the US dollar against the Egyptian pound hit its all-time high, as it reached EGP 50.20 for buying and EGP 50.30 for selling at Banque Du Caire.
According to the latest official data, Egypt’s net international reserves soared to $35.31 billion as of 29 February 2024. Meanwhile, the country’s Purchasing Managers’ Index (PMI) showed a drop from 48.1 in January to 47.1 in February.
