The exchange rate of the Egyptian currency continued to fall against the U.S. dollar during the previous week. Yet, the Egyptian pound has managed through the last week to rise against the euro and the Pound Sterling amid the negative reports on the EU region and the UK’s economic performances.
According the banks’ report during the last week, the U.S. currency rose 0.3% to EGP 6.73 (buy price) and EGP 6.76 (sell price) on Thursday’s trading, compared to EGP 6.71 (buy price) and EGP 6.74 (sell price) by the end of a week earlier.
On Tuesday rating agency Moody’s cut Egypt’s credit rating to B3 from B2 and added it may cut it further, citing doubts about its ability to secure the IMF loan and economic impact of a new round of political unrest.
Meanwhile, euro has fell 1.4% in a week to EGP 8.93 (buy price) and EGP 9.15 (sell price) on Thursday, compared to EGP 9.06 (buy price) and EGP 9.28 (sell price) by the end of a week earlier.
For the Pound Sterling, the UK currency has dipped in a week against the Egyptian pound by 1.3% to EGP 10.38 (buy price) and EGP 10.63 (sell price) on Thursday, compared to EGP 10.52 (buy price) and EGP 10.77 (sell price) by the end of a week earlier.
It is worth noting that the euro has hit 21-day low last Tuesday against the U.S. dollar amid concerns over the EU region’s economic future as the ministers had hold their monthly meeting without reaching any decisive decrees on the exchange rates.
Moreover, the reasons behind the pound sterling’s fall are the issuance of negative reports concerning the UK economy’s failure to achieve any growth rates during the last three months. Besides, the most recent official data revealed that the UK’s inflation rate has not witnessed any change for the fourth successive month after reporting the highest level since May 2012.
According to the Egyptian Cabinet’s Information and Decision Support Center (IDSC)’s latest report on the exchange rates in December, the U.S. dollar surged against the Egyptian pound by 1%; while the Euro climbed by 3.2% .
