BREAKING: Egypt’s pound futures weaken to EGP 38 per dollar

Egypt’s pound has weakened on Tuesday and its 12-month non-deliverable forward (NDF) fell to a fresh all-time low to EGP 38 per dollar, Bloomberg Al Sharq reported.

Spot exchange rate of the pound currency at the Central Bank of Egypt recorded EGP 30.81.

Non-deliverable forwards are offshore dollar-settled currency derivatives used by investors with limited access to onshore markets to hedge their exposure or speculate. By their nature, there is no actual delivery of the underlying currency, and the contracts are merely used to synthetically generate a forward hedge.