The Central Bank of Egypt said today in a statement that the global economy has faced many shocks and challenges it has not seen in years, as global markets have recently been exposed to the spread of the Corona pandemic and closing policies. , then the Russian- A Ukrainian conflict ensued, which had severe economic repercussions, and this caused This put pressure on the economy as it faced an outflow of capital from foreign investors and a rise in commodity prices .
In light of the above, reform measures have been taken to ensure macroeconomic stability and achieve economic growth, so the exchange rate will reflect the value of the Egyptian pound against international currencies.
In order to support the medium-term price stability objective, the Monetary Policy Committee decided at its extraordinary meeting to increase the deposit and overnight lending rates and the central bank principal operating rate by 200 basis points to achieve 13.25%, 14.25% and 13.75%. , respectively.
The credit and discount rate was also increased by 200 basis points to 713.75%.
Rising global and local prices are expected to lead to a higher overall inflation rate than the Central Bank’s target of 7 (± 2%) on average during the fourth quarter of 2022.
The Committee stresses that the objective of the rise in interest rates is to contain inflationary pressures caused by the demand side, the high growth rate of domestic liquidity, inflationary expectations and the secondary effects of supply shocks.
The Monetary Policy Committee will continue to announce the inflation targets launched in 2017, consistent with the targeted downward path of inflation rates.
-2.jpg "Press release 27-October-2022- (2) -2")
