{"id":3254,"date":"2022-03-23T09:47:07","date_gmt":"2022-03-23T06:47:07","guid":{"rendered":"https:\/\/www.turkishexporter.com.tr\/inturkey\/?p=3254"},"modified":"2022-03-23T09:47:09","modified_gmt":"2022-03-23T06:47:09","slug":"egypts-currency-slips","status":"publish","type":"post","link":"https:\/\/www.turkishexporter.com.tr\/inturkey\/egypts-currency-slips\/","title":{"rendered":"Egypt’s currency slips further amid signs of possible IMF accord"},"content":{"rendered":"\n

CAIRO: The Egyptian pound slid another 1% on Tuesday, after a 14% devaluation on Monday, and the government announced a budget restructuring in a sign it may be preparing for a new finance package with the International Monetary Fund (IMF).<\/strong><\/p>\n\n\n\n

Egypt’s economy was buffeted after Russia’s invasion of Ukraine prompted foreign investors to flee emerging markets. Russia<\/a> and Ukraine<\/a> were also the main exporters of wheat<\/a> to Egypt<\/a> and a major source of tourism.<\/p>\n\n\n\n

Egypt’s central bank on Monday hiked its main overnight interest rates by one percentage point and stressed the importance of exchange rate flexibility.<\/p>\n\n\n\n

“This would be in line with what is needed … to potentially reach yet another IMF programme, especially as it would be under exceptional access to IMF resources,” JPMorgan said in a note.<\/p>\n\n\n\n

The government also on Monday announced a 130 billion Egyptian pound ($7.05 billion) economic relief package, a move that analysts said seemed designed to win IMF support.<\/p>\n\n\n\n

Egypt has turned to the IMF three times in the last few years. It borrowed $12 billion under an Extended Fund Facility in November 2016, $2.8 billion under a Rapid Financing Instrument in May 2020 and $5.2 billion under a Stand-by Arrangement in June 2020.<\/p>\n\n\n\n

Egypt is eligible for a new version of any one of the three programmes, according to a person familiar with its discussions with the IMF.<\/p>\n\n\n\n

But because it has exceeded its normal borrowing quota it would have to adhere to exceptional access criteria, meaning it would be subject to a greater level of scrutiny, the person said.<\/p>\n\n\n\n

($1 = 18.4500 Egyptian pounds)<\/p>\n\n\n\n

Patrick Werr<\/strong>, Reuters NewsMarch 23, 2022<\/p>\n\n\n\n

(Additional reporting by Nadine Awadalla and Marc Jones; Editing by Alex Richardson and Andrew Cawthorne)<\/p>\n","protected":false},"excerpt":{"rendered":"

The Egyptian pound slid another 1% on Tuesday, after a 14% devaluation on Monday, and the government announced a budget restructuring in a sign it may be preparing for a new finance package with the International Monetary Fund (IMF).<\/p>\n","protected":false},"author":2,"featured_media":517,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,101,4],"tags":[283,284,244],"class_list":["post-3254","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-news","category-opinion","tag-egypt","tag-imf","tag-money"],"_links":{"self":[{"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/posts\/3254","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/comments?post=3254"}],"version-history":[{"count":1,"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/posts\/3254\/revisions"}],"predecessor-version":[{"id":3255,"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/posts\/3254\/revisions\/3255"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/media\/517"}],"wp:attachment":[{"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/media?parent=3254"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/categories?post=3254"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.turkishexporter.com.tr\/inturkey\/wp-json\/wp\/v2\/tags?post=3254"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}