C.Bank Obtains EGP40bln from Banks in 60th Auction of Deposit Operation

Egypt’s Central Bank (CBE) requested on Tuesday 40 billion Egyptian pounds of domestic surplus liquidity from local banks in the 60th auction for Deposit Operations with 9.75% interest and 7-day maturity.

23 banks from the banks operating in banking sector have provided offers with EGP83 billion as a local liquidity volume in the auction of today, CBE has accepted around EGP40 billion, with 48.2%.

The value of domestic liquidity obtained by CBE from banks since early April totaled EGP 2.515 trillion through 60 auctions.

The central bank aims using the local liquidity surplus of the banks which did not grant loans for investors as result of the crises experienced by the country.

The central bank is expected to keep key interest rates unchanged on Thursday.  
In its meeting held on May 29, 2014, CBE’s Monetary Policy Committee (MPC) had decided to keep the overnight deposit rate, overnight lending rate and the rate of the CBE’s main operation unchanged at 9.75%, 9.25% and 10.25% respectively.