Egypt sees significant decline in US dollar exchange rate at the black market

It previously declined to LE63 a week ago, following the government’s announcement of attracting new investments and the completion of the Ras al-Hikma deal, which fed the budget with US$35 billion.

This latest decline came with Prime Minister Mostafa Madbouly’s announcement, during the government meeting last weekend, that Egypt had received five billion dollars from the first installment of the deal, and that the other five billion arrived on Friday.

Madbouly indicated that measures have been taken to coordinate between the Central Bank of Egypt and the UAE’s side of the Ras al-Hikma deal, to transfer five billion from the deposit into pounds.

Banking expert Hani Abul-Futouh said that the reality of the decline of the pound against the US dollar at the CBE still exists.

However, he explained that following the decline in the dollar’s value in the black market, this would in fact work to reduce the consequences of the decline of the pound against the dollar.