Egypt seeks economic haven from coronavirus threat
The Central Bank of Egypt is taking steps to protect the country's economy as it weathers the coronavirus pandemic.
A 3% interest rate cut by the Central Bank of Egypt and a financial lifeline worth 20 billion Egyptian pounds ($1.27 billion) have lifted Egypt’s equities over the past week. However, the positive effects may be short-lived if the COVID-19 crisis persists.
The central bank cut interest rates March 16 by 3%, aiming to revive the local stock market, which has been battered by massive selloffs since March 2, after Egypt reported its first coronavirus case Feb. 14. The overnight deposit and lending rates now stand at 9.25% and 10.25%, respectively, according to the bank’s website.
