The US dollar exchange rate decreased in banks on Saturday, after Egypt received last night US$2.75 billion, the first tranche of the US$12 billion loan from the International Monetary Fund (IMF).
The National Bank of Egypt was selling the US dollar for LE16.05 and buying it for LE15.90 early this morning. Banque Misr was selling it at LE16.20, and buying at the same rate.
As for the Banque du Caire, it was selling the US dollar for LE16.75 and buying it for LE15.25 this morning. At the same time, the Commercial International Bank was selling US dollars for LE16.05 and buying for LE15.90.
Egypt's central bank floated the pound over a week ago, in a dramatic move that was welcomed by the business community.
It devalued the Egyptian currency by about a third from its former peg of 8.8 against the dollar and has since allowed it to drift lower.
A severe shortage in US dollar liquidity had hit the market before the floatation. In the wake of the floatation the pound had weaken to 18 versus dollar, before bouncing back.
Since the float, more companies have gone to the banks for their dollars, leaving them scrambling for funds; while a lack of liquidity meant inter-bank trading got off to a slow start.
