Egypt c.bank withdraws EGP1.11t in open market operation auction

The Central Bank of Egypt (CBE) withdrew 1,111,650 billion Egyptian pounds from the market on Tuesday through an open market operation auction. The move aimed to influence interest rates and manage excess liquidity in the banking system.

Bids from 28 banks were accepted at an interest rate of 27.75 percent. The CBE recently revised its bid acceptance policies to enhance the effectiveness of its monetary policy tools.

As part of these revisions, the CBE has implemented a full allotment system for its open market operations. This allows all eligible banks to participate in weekly auctions, replacing the previous allocation-based system.

These measures are part of the CBE’s ongoing efforts to manage liquidity and maintain interest rate stability in the interbank market.

Attribution: CBE data