12:53 PM
Thursday 28 July 2022
I wrote – Manal Al-Masry:
Sahar El-Damaty, a banking expert and former Vice President of Banque Misr, said that the US Federal Reserve’s decision to raise interest rates on the dollar yesterday will not push Egyptian banks to raise the interest rate on certificates in local currency at the present time, due to the continued existence of a high rate of return in banks reaching 15.25% and 14%. Term of 3 years which pays to maintain the same rate.
The US Federal Reserve announced that it will raise interest rates for the fourth time in a row, with an increase of 0.75%, in an attempt to curb inflation, which has reached record levels.
Eldamaty said that the Central Bank of Egypt may raise interest rates on deposits and lending by between 0.5% to 1% at the Monetary Policy Committee meeting on August 18th, following the decision of the US Federal Reserve, but she linked this possible increase to inflation rates figures in July that will be issued by the Central Agency for Public Mobilization Statistics and the Central Bank on August 10.