Pharos: Egypt’s central bank to keep interest rates unchanged in next meeting

The Central Bank of Egypt (CBE) is likely to keep interest rates steady when the Monetary Policy Committee (MPC) meets on Thursday, said Radwa El-Swaify, Head of Research at Pharos Holding.

El-Swaify added that the CBE had cut rates by 300 bps early March to stimulate investments and ease the pressure of nationwide closures on several economic activities.

She noted that before the MPC takes any new decision, it will first take into account market conditions, the effect of the recent interest rate cut, and inflation rates and its trends, in light of what is happening recently.

El-Swaify expected that the inflation will grow by 0.5 percent on a monthly basis and 4.8 percent on an annual basis (compared to 0.6 percent on a monthly basis and 4.5 percent on an annual basis in March).