Egyptian currency plunges amid move to flexible exchange rate
“Heavily managed” exchange rate “has not served Egypt well”, says IMF mission chief
The Egyptian pound fell sharply this week as the central bank allowed the exchange rate to move more flexibly, a key condition of an International Monetary Fund loan.
The pound was down 9.1% against the dollar today (January 11), relative to a week earlier. Over the past year, it has shed nearly 45% of its value, mostly through a series of large devaluations orchestrated by the Central Bank of Egypt (CBE). It is unclear whether the central bank has fully stepped back from the foreign exchange
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