Ahmed Kamel – Egypt Daily News
The National Bank of Egypt (NBE) has announced a reduction in interest rates on its flagship three-year platinum savings certificates, following the Central Bank of Egypt’s latest monetary policy easing.
Mohamed El-Etriby, Chief Executive Officer of the National Bank of Egypt, said the bank’s Asset and Liability Committee (ALCO) met on Tuesday and decided to cut the interest rate on the three-year platinum certificate with a fixed monthly yield to 16 percent, down from 17 percent.
In addition to the fixed-rate product, the bank also revised returns on its tiered-yield platinum certificates. Monthly-yield tiered certificates will now offer returns of 21 percent in the first year, 15.25 percent in the second year, and 12 percent in the third year. For certificates with annual tiered returns, yields have been adjusted to 22 percent in the first year, 17.5 percent in the second year, and 13 percent in the third year.
El-Etriby said the new rates will come into effect starting Wednesday, December 31, 2025.
The move follows last week’s decision by the Central Bank of Egypt to cut key policy rates by 100 basis points, reflecting improving inflation trends and expectations. The Monetary Policy Committee lowered the overnight deposit rate to 20.00 percent, the overnight lending rate to 21.00 percent, and the central bank’s main operation rate to 20.50 percent. The discount rate was also reduced by 100 basis points to 20.50 percent.
The central bank said the decision was based on its assessment of recent inflation developments and forward-looking indicators, signaling growing confidence that price pressures are easing after a prolonged period of tight monetary policy.
As Egypt’s largest state-owned bank, the National Bank of Egypt often moves quickly to align its savings products with changes in benchmark interest rates. Analysts say the latest adjustments are likely to be followed by similar steps from other major banks, potentially reducing returns for savers but easing borrowing conditions for businesses and consumers.
The rate cuts mark a notable shift after a long cycle of aggressive tightening aimed at containing inflation, stabilizing the currency, and attracting local currency savings amid economic challenges and global financial volatility.
