Egypt studies dollar alternative possibility for trading commodities

Egypt is putting approving the currencies of its commodity trade partners, including China, India and Russia, into consideration, to become less dependent on U.S. dollars, Minister of Supply and Internal Trade, Ali Moselhi said on Saturday.

“We are very, very, very strongly considering to try and import from countries and approve (use of) their local currency with the Egyptian currency,” stated Moselhi.

This comes as global oil traders have been seeking payments in other currencies than the dollar, with the shift being fueled by Western sanctions on Russia and other countries. Earlier this year, Russia added the Egyptian pound to its exchange rate list.

“This hasn’t happened yet but it’s a long journey that we’ve already made progress on, whether with China or India or Russia, but to this moment no deal has been made,” Moselhi added.

“Livestock imports from Sudan, which is embroiled in a conflict between rival military forces, are expected to continue despite logistical challenges, but we will try to diversify import origins, including from Chad and Somalia,” Moselhi mentioned.

This month, the Ministry of Supply restricted the trading of local wheat without approval, as well as the use of wheat as feed.