Greenback weakening in Egypt as economy improves
Egypt’s pound continues to grow stronger against the US dollar in 2020, thanks to gains in foreign investment, tourism and exports.
Egypt’s pound may keep gaining momentum against the US dollar in 2020, thanks to improving macroeconomic indications and the rising influx of the greenback, traders and economists say.
“The dollar may weaken to below 15 pounds (95 cents as of Jan. 21) in the coming few months if the present ratio of decline continues,” Ali al-Hariri, secretary-general of the foreign exchange bureau division at the Federation of Egyptian Chambers of Commerce, told Al-Monitor.
On Jan. 19, he said the dollar had lost at least one piaster (1 pound equals 100 piasters) a day over the past two weeks, noting that on Jan. 14 alone it declined by 10 piasters.
“The US dollar stood at 16.09 [pounds] at the beginning of 2020. It has lost more than 0.16 pounds since Jan. 1. It may fall below 15 pounds in the first quarter of 2020 in the wake of the recent ratio of decline. The pound has been strengthening as inflow of the US dollar has been on the rise as the economy improves,” Hariri added.
