Egypt’s CBE fixes interest rates unchanged for 4th meeting in row

The Monetary Policy Committee (MPC) of the Central Bank of Egypt (CBE) decided fix interest rates for the fourth meeting in row with the overnight deposit rate 9.25 percent.

The overnight deposit rate, overnight lending rate, and the rate of the main operation were kept at 9.25 percent, 10.25 percent, and 9.75 percent, respectively.

The discount rate was also kept unchanged at 9.75 percent, according to MPC’s decision.

MPC clarified in a statement that the annual headline urban inflation declined to 4.2 percent in July 2020 from 5.6 percent in June 2020, the lowest rate recorded since November 2019.

“The decline was due to continued muted inflationary pressures and supported by favorable base effects,” it explained.