Dubai, United Arab Emirates (CNN)– A senior official in the Central Bank of Egypt said that the bank does not intend to make a significant reduction in foreign exchange rates against the pound.
In statements to the government newspaper, Al-Ahram, on Saturday, the first deputy governor of the Central Bank, Gamal Negm, said that the foreign exchange gap in Egypt is being closed, explaining that the dollar deficit decreased from $3.9 billion last February to $400 million in July. July “Thanks to the decisions of the Central Bank of Egypt regarding the regulation of imports.”
He said that there is no need to worry about repaying the foreign debt installments, while noting that it is unlikely that the Central Bank will make a significant reduction in exchange rates in the next stage.
The official’s statements come amid reports that Egypt should devaluate its local currency, and that its current price is “exaggerated.”
The Central Bank will make its decision, Thursday, at a meeting of the Monetary Policy Committee, which discusses the status of interest rates and inflation.
The exchange rate of the Egyptian pound continued to decline against the dollar, recording 19.03 pounds for purchase, and 19.14 pounds for sale in the Central Bank.