Egypt’s Central Bank (CBE) decided on Tuesday to postpone offering its repurchase agreements (Repo) for the third time in a row since the end of July, 2013. The central bank provided the local banks by July-end with the repo auction worth US$8 billion.
The central bank has offered 8 repurchase agreements since the reactivation of the Repo operations last June.
Notwithstanding the ongoing political unrest, CBE’s postponement decision was made in the light of the sufficient cash liquidity enjoyed by the local banks.
Mr. Amr Youssef – Deputy of Treasury Sector in Piraeus bank – stated that the local banks enjoyed cash liquidity in the vicinity of EGP 21 billion before Eid El-Fitr holidays. “Therefore, the central bank decided to delay raising its periodic Repo operations to banks.” He added
