Egypt Daily News – Dr. Mostafa Madbouly, the Prime Minister, commented on rumors of a new devaluation of the Egyptian pound in the upcoming period, saying: “The International Monetary Fund and global economic institutions have confirmed in their reports that Egypt is implementing a flexible exchange rate system.”
During a press conference from the New Administrative Capital on Wednesday, Madbouly said: “There will not be a devaluation in the true sense of the word, but the dollar will rise and fall according to market conditions.
It might rise by normal rates and fall by those rates according to market movements, and this is a completely healthy form according to supply and demand regarding the currency.”
He continued, saying: “We shouldn’t worry when we find the dollar was at 48, reached 49 pounds, and then dropped. It will be like this, and we won’t intervene in the matter.”
President El-Sisi added: If the fund itself and the “Fitch” institution, which are the most scrutinizing of economic indicators, confirmed Egypt’s success in implementing a flexible exchange rate system, then there will not be a devaluation in the true sense of the word.
The dollar will move and decrease according to market conditions, and it will not be the previous increase that reached 40%.
Instead, it will move naturally and normally in small percentages according to market movements, which is the completely healthy form according to supply and demand.
The most important thing is that everyone, whether citizens, the private sector, companies, or foreigners, sees that the state does not intervene, but there is confidence that things are going well and what is being implemented on the ground. Therefore, there is no need to worry about the dollar moving from 48 to 49 or decreasing again to 48, as this will remain the form of movement and we will not intervene in this matter again.
