02:23 PM
Saturday, December 2, 2023
Written by Manal Al-Masry:
Sahar El-Damaty, a banking expert and former Vice Chairman of the Board of Directors of the Bank of Egypt, told Masrawy that the fall in the price of the dollar on the black market over the end of last week does not mean that its end or elimination is near, but it is a strong blow directed at currency speculators as a result of a state of reassurance and cash flows. Foreign expected after the Prime Minister’s assurances.
El-Damaty added that the end and elimination of the black market will not happen until foreign exchange flows increase, the remittances of Egyptians working abroad return to their legitimate sources in banks and money exchanges, and the elimination of waiting lists in the banking sector to finance the requests of importers, individuals and various companies.
The black market for currency trading suffered huge losses at the end of last Thursday’s trading, with its price falling to between 46 and 47 pounds, compared to 52 pounds the previous day, that is, a decline of between 5 and 6 pounds, which some interpreted as a significant decline in traders’ requests to buy the dollar, according to what observers said. Masrawy spoke to them.
At the same time, Counselor Sameh Al-Khashin, spokesman for the Council of Ministers, said during an intervention on the “Kul Yom” program on “On” channel yesterday, that the dollar crisis is on the verge of disappearing and will end soon, and that the government is working to solve the problem from its roots by working to attract foreign investments. And encourage the local component.
Al-Khashin’s speech came in confirmation of what Prime Minister Dr. Mostafa Madbouly said in the middle of last month during his tour of a number of factories in the cities of Obour and 10th of Ramadan, that the crisis related to the shortage of foreign currencies will end soon.
The decline in the price of the dollar on the black market contributed to reducing the gap between the official and unofficial prices to be limited to about 16 pounds, as its price in banks recorded at the end of Thursday’s trading near 31 pounds, which is the same price fixed at it last March.
During the month of November, the price of the dollar recorded successive jumps in black market transactions, reaching the level of 52 pounds due to a sudden increase in demand for purchasing it in exchange for a shortage in supply in banks and money exchanges, before it fell to 46 pounds last Thursday, according to observers.
El-Damaty confirmed that the International Monetary Fund’s announcement of its study of raising the loan allocated to Egypt, and before that, what was reported by Bloomberg regarding the European Union’s study of pumping direct investments approaching $10 billion into the Egyptian market to support it in confronting the effects of the Israeli war on Gaza, reflected a state of optimism among dealers. It reduced speculation on the dollar.
Banks are facing severe pressure due to the shortage of foreign exchange after the exit of indirect investments worth $22 billion in the middle of last year due to the negative consequences of the Russian-Ukrainian war.
2023-12-02 12:23:00
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