Egypt’s central bank lowers key interest rates by 50 basis points

Egypt’s central bank has on Thursday cut its key interest rates by 50 basis points, the bank announced in a statement.

The overnight lending rate was reduced to 9.25 percent from 9.75 percent, while the overnight deposit rate lowered to 8.25 percent from 8.75 percent.

The move comes after Egypt’s inflation rates dropped close to its lowest levels for more than a decade and the country has been striving to sustain economic activity in the face of the coronavirus pandemic crisis.

“The reduction in key policy rates in today’s MPC meeting provides appropriate support to economic activity while remaining consistent with price stability over the medium term,” the central bank statement read.

In September, the central bank also reduced rates by 50 basis points at its previous monetary policy committee meeting.