Egypt freezes Russian MIR payments to avoid US sanctions
Acceptance of MIR bank cards would have eased Russian tourists’ payments inside Egyptian hotels and resorts.
Egypt has shelved plans to apply the Russian MIR payment card system in its resorts and hotels amid worries of possible US sanctions, according to a source at Egypt's largest state-owned bank.
“Sanctions imposed on Russia by the US and European allies have forced the Egyptian decision-makers to scrap their support for the MIR system,” the source from the National Bank of Egypt told Al-Monitor.
The source, who spoke on condition on anonymity, said a recent rise in tourist flows into Egypt have encouraged Egyptian officials to reverse plans to link the MIR scheme with Egypt’s homegrown Meeza card system.
Another banking source told the local Masrawy news portal last month that Egypt was also worried that using the Russian payment system could undermine its current negotiations with the IMF for a loan to shore up its economy amid a severe shortage of foreign currency. With over a 16% voting share, the US is the largest single voting bloc in the IMF.
