The Central Bank of Egypt (CBE) offers US$ 40 million to local banks at its 39th FX auction and the 23rd one since the appointment of Hisham Ramez as governor of CBE since last February.
CBE decided to allocate a ration of dollars to each bank ranging from 10% to 35% according to its market share and volume of letters of credit, in an attempt to regulate the monetary market and supply each bank with its requirements with rationing the value of dollars disbursed so as to reduce the depletion of foreign currency.
Ramez reduced the value of dollars offered at FX auctions as CBE was offering US$ 75 million, then US$ 50 million at two auctions and US$ 40 million at the latest auctions so as to ration the disbursement of foreign currency especially after foreign reserves fell to US$ 13.5 billion.
The total value of dollars offered by CBE to local banks since Ramez became the governor of CBE reached US$ 975 million.
