Ahmed Kamel – Egypt Daily News
The Egyptian pound weakened sharply against the US dollar on Sunday, breaching the 53-pound mark for the first time in its history, as mounting external pressures and capital outflows weighed on the local currency.
The dollar rose by around 1.5 percent during the day’s trading session, reaching record levels across several Egyptian banks. The surge comes amid a broader upward trend that began with escalating regional tensions linked to the conflict involving Iran, which has accelerated the exit of foreign portfolio investments from Egypt’s local debt market.
According to compiled banking data, the highest exchange rate for the dollar reached approximately 53.55 pounds for buying and 53.65 pounds for selling at several institutions, including Al Ahli Kuwaiti Bank Egypt, SAIB Bank, MID Bank, Industrial Development Bank Egypt, and Kuwait Finance House Egypt.
The lowest recorded rate was at Emirates NBD Egypt, where the dollar traded at about 52.65 pounds for buying and 52.75 pounds for selling.
At Bank of Alexandria, Arab African International Bank, and Faisal Islamic Bank of Egypt, the dollar traded near 52.50 pounds for buying and 52.60 pounds for selling.
In the two largest state-owned banks, the dollar reached approximately 53.48 pounds for buying and 53.58 pounds for selling at National Bank of Egypt, and about 53.30 pounds for buying and 53.40 pounds for selling at Banque Misr.
Meanwhile, the official rate published by the Central Bank of Egypt stood at around 52.75 pounds for buying and 52.89 pounds for selling.
Analysts attribute the pound’s decline to a combination of external and domestic pressures, including rising global interest rates, heightened geopolitical risks, and continued reliance on short-term foreign capital inflows. The recent regional instability has prompted investors to reduce exposure to emerging markets, including Egypt.
The currency’s drop marks a sharp reversal from its performance in 2025, when the Egyptian pound gained roughly 6.7 percent against the dollar, supported by record remittance inflows and improved liquidity conditions in the banking sector.
With volatility increasing, market participants are closely watching the next steps by the Central Bank, as policymakers face growing pressure to stabilize the currency and restore investor confidence.
