Mohamed Al-Ibary, President of the Federation of Egypt Banks and President of Banque Misr, stated that the market is moving due to supply and demand after the Egyptian Central Bank announced the system of a flexible exchange rate for the pound. He noted that the dollar decreased after its rise following the liberalisation of the exchange rate in 2016.
“In the floating in 2016 the dollar exceeded its right price, and returned to decline again. The dollar reached 20 pounds, and reached 18 pounds, and then it came down 15. 70 pounds, and it is fixed at this number for five years,” he added in a telephone interview with Amr Adib for the “Story” programme on the MBC Egypt channel.
” As for some waiting for the dollar to reach 25 pounds tomorrow, Sunday, he answered that “the supply and demand is the one that moves the price, but in my view it will not be (Over Shoting) at the dollar price this time. ”
He continued by saying that the dollar should fluctuate gradually in accordance with its deficit and making the point that Egypt is not unaffected by global events.
The Central Bank of Egypt declared that it would implement a flexible exchange rate system while prioritising achieving prices as its main objective.
He clarified that the factors of supply and demand will determine how much the Egyptian pound will cost in relation to other foreign currencies. Following the decision, several banks’ dollar conversion rates increased to a level of 23 pounds.
What is the anticipated exchange rate between the dollar and the pound? .. The President of the Bank of Egypt answers
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