The Central Bank of Egypt (CBE) offers on Thursday US$ 40 million to local banks at its 40th FX auction and the 24th one since the appointment of Hisham Ramez as governor of CBE since last February.
This raises the value of dollars offered by CBE under the leadership of Ramez to about US$ 1 billion. Ramez reduced the value of dollars offered at FX auctions as CBE was offering US$ 75 million, then US$ 50 million at two auctions and US$ 40 million at the latest auctions so as to ration the disbursement of foreign currency especially after foreign reserves fell to US$ 13.5 billion.
The value of dollar surged EGP 0.44 to reach EGP 6.81 since the implementation of FX auction mechanism at the end of 2012, up from EGP 6.37. Then, the value of dollar began to fall against the Egyptian pound concurrently with the appointment of the new governor at the beginning of last February as the value of dollar dropped EGP 0.08 to register EGP 6.73 on the second day of Ramez’s term. However, it rose again to register EGP 6.83.