CBE: Governor of the black market for dollars will end "soon"

[yota691]

CBE: Governor of the black market for dollars will end "soon"

 

      Monday   02   February   2015 | 23:05

 

 

 

 

The most prominent in the news

 

 

Egypt's central bank governor said that the big companies that help is on the black market

 

 

Central Bank Governor Hisham Ramez said that the black market for dollars in the country, will end "soon" and that "the Egyptian economy is not dependent on aid."

The CBE has started about two weeks to allow the pound to fall from 7.14 pounds to the dollar before, and for the first time in six months. As bankers and analysts said was an effort to encourage investment and to address the black market in the currency.

During a meeting with the Egyptian community in Kuwait said Ramiz "Egypt does not have a dollar problem .. Egypt imports sixty billion dollars, and remittances from Egyptians abroad amounting to $ 18 billion."

"The banks do not only provide half and the other half comes from the black market."

Egypt is suffering because of the decline in tourism and foreign investment income, as well as many of the expatriates prefer to send their money to the country through the black market, where they get higher prices.

He Ramiz: "I discovered that the large companies that help is on the black market," but added: "Soon we will prevent the black market" through a simple technical tools and will implement global rules.

The Egyptian Central Bank Governor had predicted last November, the elimination of the parallel market for dollars in the country over a period ranging from six months to a year.

 

 

[dantach]

Ya, right, you are going to beat the black market. what other fantasies do you have?

[yota691]

 

 

A limit to the dollar deposit in Egyptian banks Egypt seeks to reduce the difference in the official price of the dollar against the pound and the price on the black market

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Thursday, February 5, 2015 - 19:21 Abu Dhabi 

Abu Dhabi - Sky News Arabic

Central Bank imposed a ceiling for dollar deposits in Egyptian banks, to direct blow to the black market in foreign currency, according to traders and bankers said Thursday.

Traders on the black market and said that the difference between the dollar and the price they have in banks severely diminished.

The source told the official Central Bank of Egypt, "Reuters" that the bank to impose a maximum deposit of cash dollar in the bank, at 10 thousand dollars a day for individuals and businesses, and a total of 50 thousand dollars a month, as part of measures to combat money laundering and the black market.

The source, who asked not to be named, said that this decision came into force with effect from Thursday, after a meeting of central bank chief Hisham Ramez Wednesday evening with the heads and leaders of the banks operating in the market.

And the Egyptian pound has stabilized at 7.53 pounds to the dollar at the central bank auction Thursday, unchanged from the price at the tender Wednesday, while stopped landing for the first time since the start of the official series of cuts.

Egypt suffers a shortage in the supply of dollars with affected the main sources of hard currency for the ongoing four years since the political and economic turmoil, as well as many of the expatriates prefer to send their money to the country through the black that they receive at the highest market prices.

I give traders in the black market different prices for the dollar Thursday, as one of them said he was buying dollars at 7.90 pounds, down from 7.95 pounds Wednesday, while others said they are dealing with the same bank rate.

[yota691]

In a new blow to the currency traders «CBE» imposes a maximum dollar deposit in banks

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The Egyptian central bank's headquarters in downtown Cairo (archival)

Posted: Friday, February 6, 2015

CAIRO (Reuters)

Central Bank of Egypt face a new blow to the black market in hard currency by imposing a ceiling on dollar deposits in Egyptian banks.

The bankers and traders yesterday, said that the latest Bank decisions determining the ceiling of the dollar deposits in banks violent blow to the informal trade in foreign currencies. According to traders in the black market, that the difference between the dollar and the price they have in banks severely diminished.

 

 

He informed official source CBE «Reuters», the bank imposed a ceiling for deposit cash in dollars in banks at ten thousand dollars a day for individuals and businesses, and a total of 50 thousand dollars a month, as part of measures to combat money and the black market laundering.

 

The source said that these decisions entered into executive as of yesterday, after a meeting of central bank chief Hisham Ramez yesterday evening with the heads and leaders of the banks operating in the market.

The source said «the central bank decided to put an end to the roof of the dollar cash deposit banks operating in the local market up to a maximum of 10 thousand dollars a day, and the total monthly deposits of $ 50 thousand for individuals and companies». He added that the latest action aimed at combating money laundering, as well as «completely eliminate currency trading and an end to the parallel market dealings».

The Egyptian pound has stabilized at 7.53 pounds to the dollar at the central bank auction yesterday, unchanged from the price at the tender yesterday, while stopped landing for the first time since the start of the official series of cuts. And gave traders on the black market different prices for the dollar yesterday, as one of them said he was buying dollars at 7.90 pounds, down from 7.95 pounds, while others said they had the same deal at the price of banks. Said a trader tone resentment «weak supply and demand non-existent because of the central decision to impose the ten thousand dollars roof.»

He stated that the dollar buys from customers the price of the banks are trying to sell his dollars at a price of 6.85 pounds. He expressed optimism central bankers decision to impose a ceiling on dollar deposit in banks, another step toward controlling the black market after the blows which recently received.

[yota691]

Egyptian pound continues its stability against the dollar for a third day

February 8, 2015 17:41   Last Updated: February 8, 2015 17:41

 

Image from Reuters - Arabian Eye

 

Cairo - Direct: The dollar steadied in the tender Central Bank on Sunday, at 7.5301 pounds, and for the third time after a series of setbacks.

The central bank said, he offered $ 40 million in a tender today for banks operating in the local market, he sold them $ 38.4 million.

The price of this tender, the official price, which deals with banks to sell and buy the dollar from its customers.

He said the central, through its website, the less acceptable price at the auction was 7.5301 pounds to the dollar, the same price acceptable in my auction "Wednesday and Thursday" from last week.

The central bank began bidding the dollar system in December 2012, and through that mechanism seeks to provide dollar liquidity to local banks

Traders said the black market in the regions of the pyramid and Nasr City for "direct", the dollar price record about 7.68 pounds.

[yota691]

 

IMF: Egypt reforms began to check an improvement in the economy

 

      Wednesday   11   February   2015 | 16:25

 

 

 

 

Fund expects the arrival of growth to 3.8 percent in 2014-2015

 

 

 

The International Monetary Fund announced that the structural and monetary reforms taken by the Egyptian authorities, which began achieve an improvement in the economy, which is affected by the turmoil in the country since 2011.

And formed the aid lifeline for the economy, while the government has initiated reforms, seeking to achieve a balance between restoring growth and controlling inflation and reducing the budget deficit.

The IMF said in a press statement at the conclusion of Article IV by which experts from the Fund's assessment of the financial and economic situation of the country, "the procedures that have been implemented so far in addition to restoring some confidence consultations began to check improvement."

According to the IMF, Egypt is not conducted Article IV consultations since March 2010. But the government has commissioned hope the issuance of a positive report by reinforcing its image to be held in March in Sharm el-Sheikh International Economic Conference.

Conducted Monetary Fund and Egypt intermittent talks on a possible loan worth up to $ 4.8 billion to support the faltering economy since the uprising in 2011 led to the reluctance of tourists and foreign investors and are two main sources of hard currency.

Fund, said he expected the arrival of growth to 3.8 percent in 2014-2015 and rising to 5 percent in the medium term. Despite an improvement compared with the low levels recorded by the country after the outbreak of unrest in Egypt Stzer Under these rates of growth are having difficulty in providing enough jobs for its citizens in light of the rapid growth of the population.

[yota691]

IMF praises Egypt's economic reforms

Mahlab confirmed Egyptian GDP growth soon

 

Wednesday, February 11, 2015 - 19:13 GMT Abu Dhabi 

Abu Dhabi - Sky News Arabic

The International Monetary Fund said Wednesday that monetary and structural reforms taken by the Egyptian authorities, which began achieve an improvement in the economy.

The IMF said in a press statement at the conclusion of Article IV by which experts from the Fund's assessment of the financial and economic situation of the country, "the procedures that have been implemented so far in addition to restoring some confidence consultations began to check improvement."

According to the IMF, Egypt is not conducted Article IV consultations since March 2010, but the government has commissioned hope the issuance of a positive report reinforces its image before scheduled to be held in March in Sharm el-Sheikh International Economic Conference.conducted Monetary Fund and Egypt intermittent talks on a possible loan worth up to $ 4.8 billion dollars to support the faltering economy. Fund, said he expected the arrival of growth to 3.8 percent Fa2014-2015 and rising to 5 percent in the medium term. The Fund is also expected to set the budget measures that will lead to the descent of the deficit from 8 percent of GDP by the 2018-2019.ozkr budget deficit cut will also "supports the goal of reducing inflation to 7 percent in the medium term." said Egyptian Prime Minister Ibrahim Mahlab Wednesday he expected to grow gross domestic product (GDP) Egyptian 4 percent in the current fiscal year, which ends in June, up from 2.2 percent in the past year . Mahlab said at an international conference of government and for executives Fadbe it is believed that the budget deficit his government will be reduced from 10 percent of GDP in the current year, compared with 14 percent in the past year. He Monetary Fund managers need to broaden the tax revenue range including the imposition of tax value-added, and said that falling oil prices provides an opportunity to accelerate the pace of energy to support reforms.

[yota691]

Egypt's central bank raises bonds billion dollars

Source: 

• Cairo - Reuters

History:  February 14, 2015

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Egypt's central bank has decided to float bonds for one billion dollars a year to local banks and foreign financial institutions in the tender on 17 February

The government basically turned to the local short-term money market to finance the public deficit since 2011, which saw the flight of many foreign investors. The statement pointed out that the deadline for receipt of offers to buy the bonds is 16 February

[yota691]

Egyptian pound stabilized Bthamn tender respectively

The dollar held steady at 7.53 pounds

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Sunday, February 15, 2015 - 15:54 GMT Abu Dhabi 

Abu Dhabi - Sky News Arabic

Egypt has sold dollars at 7.53 Egyptian pounds to the dollar in Sunday's eighth tender Central Bank this month, while a little weak pound on the black market.

The central bank left the official exchange rate of the pound fall since January 18 in an attempt to eliminate the black market currency but kept the exchange rate stable for weeks and even now.The central move to put pressure on the black market in sync with the government's efforts to boost the economy and improve the image of Egypt before the investment conference next month . The central bank said he had offered $ 40 million for the sale today and sold $ 38.4 million and reached the lowest price acceptable 7.5301 pound against the dollar, which is the same tender previous level Thursday. is determined by the dollar exchange rates allowed banks to them on the basis of the results of the tenders of the Central Bank, which gives him effective control over The official exchange rate. There is still an active black market where weaken the pound to coincide with the formal reduction of its value. and settled on the black market, but recently risen since the central stopped reduced the value of the pound last week. Included central bank action to impose a cap on deposits in US dollars in Egyptian banks and expand the sidelines sale and buy the dollar in the bank to ten pennies instead of three pennies.

[yota691]

In light of the possibility of a currency war between China and Europe Expert: diversification and flotation are two options in front of the Central Bank

Source: 

• Dubai: Majdi Obaid

History:  February 27, 2015

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As Simon Derrick charge of currency strategy BNP Wi-Mellon have, that there are options on the table in front of the UAE Central Bank and other central banks like around the world to deal with the unrest, which dominates the major currencies exchange markets.

He pointed out that these options, including a trend toward greater diversification of cash reserve components, and float the currency exchange rate to reflect their true value, and the expectation that these monetary policies represent a logical choice in light of the likelihood of currency war between the European single currency «euro», currency Chinese «renminbi », also predicted that oil prices will stabilize at a level between $ 60 and $ 70 a barrel, over the foreseeable future.

Said Derek in a press conference held yesterday to present a report on the exchange markets turmoil in the world, the exchange markets around the world is witnessing developments and changes rapidly over the past six months, both in relation to developments in the US interest rate policies and quantitative easing followed by the European Central Bank rates .

The mounting position of the Chinese currency (RMB), and the decline in oil prices, including contents from the effects of the monetary policy-makers in the world, and changes in currency exchange rate of CHF, pointing out that the monetary easing policies led to control the unrest on currency exchange rates in the world.

Monetary easing

He reported that an easing monetary policies are not limited to the euro zone, but it extends to the intentions of the Federal Reserve (the US central) with respect to continuation of monetary easing policy, where a doubt about the intentions of the Federal Reserve Board on the lifting of US interest rates, after circulating expectations in this regard ,

He said that the current disparity in attitudes monetary policy leads to pursued divergent paths, including making it an engine head of the market exchange rates in the world, pointing out that the exchange rate markets in the world has seen since 2002 until 2014 regular dollar coin flows, driven by following the US Federal Reserve Board monetary easing policies, which turned much of these flows to emerging markets, which necessitated the monetary policy makers to make huge efforts to maintain the linking of these currencies to the dollar.

And maintain a competitive exchange rates for their currencies, through the central banks in these markets to buy intensive dollar coin, is the one who reflected on increasing cash reserves of developing countries and emerging from $ 800 billion in 2002 to $ 8 trillion, by the end of 2014, pointing out that the currency The dollar accounted for about 25% of the cash reserves of these countries, and distributed the rest to other currencies, particularly the euro, Canadian dollar and the British pound.

Euro Crisis

He explained that the mounting crises of the euro zone, reduced the European single currency's appeal (the euro), where he headed cash reserves managers toward the purchase of a dollar coin, the expectation on their part that US interest rates will move upward, which led to the strengthening of the US dollar attractive, supported by achieving economy American good performance rates.

China's central bank also accumulated a great deal of denominated reserves in dollars, where monetary reserves rose to the Chinese central bank of $ 220 billion at the end of 2012 to $ 4 trillion by the end of last year, pointing out that the Chinese currency status as the currency has been enhanced as a result of the direction of the Chinese government towards the liberalization of exchange «renminbi prices.»

He said, it is Almtaan on cash reserves managers to work to increase the diversification of these reserves through the acquisition of a variety of currencies, including the basket of the euro and the dollar and the pound, and other major currencies in the world, where he is expected to remain the European monetary policy nature adaptive for a long period of time.

It is also expected at US interest rates go up slowing and regular pace, which enhances the strength of the dollar during the twelve coming months, and thus, more diversification in cash reserves will be a monetary policy frescoes in the face of the unrest, which dominates the currency exchange markets in the world , estimated that the trend toward greater diversification of cash reserves basket is a prudent and logical choice for those in charge of management of cash reserves and not only for the UAE Central Bank.

Gold prices

He expressed his belief that it would be inappropriate to increase the gold component within the cash reserve components, pointing out that gold is not considered as a safe haven, as imagined by many, it is not the case during the escalation of the global financial crisis in 2009, and that the prices reflect the prices of policies for the benefit set by central banks around the world.

Thus, there are at present two forces that control and are contrary to the yellow metal prices, the first relating to the prospects of rising US interest rates, which would adversely affect the price of gold, and the second related to the reduction of European interest rates.

Which affects positively on the price of gold, and therefore it is expected that central banks tend to increase their holdings of gold significantly, indicating that low interest rates may not spur cash reserves managers for honoring these precautions, but give them enough time to diversify cash their reserves components already existing.

In replying to a question as to whether it is better for the UAE dirham currency to be strong or weak, he generally prefers to be any currency exchange expressing their true value.

Oil prices

Simon Derrick said that oil prices represent a powerful force on the monetary policies around the world. With the decline in oil prices to levels less than $ 50 per barrel, oil has become represents a notable developments in the scene currency exchange in the world prices, noting that it is expected to stabilize oil prices at a level between $ 60 and $ 70 a barrel during the foreseeable future.

He predicted that the euro exchange rate of decline, with the European Central Bank pumped huge liquidity of a currency through planning to buy bonds worth 60 billion euros a month until September of 2016, and lower interest rates on deposits to negative rates.

For the purpose of raising the inflation rates for the recovery of the economies of the euro zone, as happened to assets denominated in the currency component of the euro falls within the components of cash reserves and cash reserves managers heading towards the acquisition of assets denominated in the Chinese currency, along with the major currencies of the major markets,

He added that the world actually live currency war since 2002, and it is not the only war in currency markets in the world, US monetary policy has tended to cut interest rates continuously and systematically.

[yota691]

Egyptian Finance Minister: We intend to issue foreign bonds by next June
 

Friday
 27
 
February
2015
14:07


 

The most prominent in the news

Damian: I expect that he may enter the market by June complete with all the documentation and procedures

 

Egyptian Finance Minister Hani Qadri Demian today announced that his country plans to issue foreign bonds by June.

Damian said in a speech in London, "I expect that he may enter the market by June complete with all the documentation and procedures."

[Saintsfan]

Thank you

[yota691]

Thanks it looks to be same path as the CBI is taken...

[yota691]

GMT 9:12 2015 Saturday, February 28 : Last Updated

Lagarde will participate in the conference to support the Egyptian economy

A. U. A.

 

 

 

Washington: A spokesman for the International Monetary Fund, the Fund director Christine Lagarde will participate in the support and development of the Egyptian economy conference, to be held in Sharm el-Sheikh during the period from 13 to 15 March, and will attend Lagarde conference, which comes within the framework of Egypt's efforts to mobilize investments. The Middle East management consultant and Asia Minor IMF Christopher Jarvis, had said earlier that the Fund stands ready to support Egypt in any way for the benefit of the Egyptian economy. He noted that the Fund's report, which was released in February of this on Article IV consultations in 2014 with Egypt, try to provide an objective assessment of the Egyptian economic developments and policies. 

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[yota691]

GMT 10:09 2015 Monday, March 2 : Latest Update

  $ 30 billion is traded on the black market in Egypt

 

Cairo:  Minister of Investment Ashraf Salman, that the cash turnover in the Egyptian market is annually about $ 60 billion, of which $ 30 billion in official market represented in the banks, and another $ 30 billion are traded on the black market, a large size would have required intervention by Central Bank to set monetary policies to ensure access to this huge volume of funds to the official market.

He Salman - through his participation in the "investment in Egypt and the Middle East - One-on-One," which is organized by EFG-Hermes in Dubai today and the two-day conference - that the existence of markets for the dollar exchange and trading in Egypt to create two prices separate private with inflation black and gray market size which create Problems in front of investors who wish to invest in Egypt.

He explained that the actions taken by the Central Bank of Egypt in the last period, which will ensure the entry of a large part traded on the black market funds to the main market, including work to eliminate the phenomenon of having two prices for the dollar, and the dollar will formally investors. He predicted that these actions lead to a steady increase in the volume of foreign direct investments in the Egyptian market to coincide with many other Olakhozaouat taken by the Egyptian government, including seeking the issuance of an attractive investment laws set such as Unified Investment Law and the Law on Renewable Energy and the law project finance micro as well as tax reform laws, which . He pointed out that the Egyptian pound has seen a decline rate was about 8 percent against the dollar, one of the things that also helped to eliminate the parallel market.

[yota691]

Egypt minister: started to devalue pound to solve repatriation problem

The central bank allowed the pound to drop to around 7.63 from 7.15 against the U.S. dollar in the official market (File photo: Shutterstock)

Text size A A A

By Reuters | Dubai

Monday, 2 March 2015

Egypt has started to devalue its currency in order to address the shortage of hard currency which is still making it difficult for foreign portfolio and industrial investors to repatriate profits, Investment Minister Ashraf Salman said on Monday.

Speaking at a business conference in Dubai, Salman said: “It’s definitely a problem, not only for investors but foreign direct investors.

“The foreign reserves of Egypt are now $15 billion...which cannot support the flows into and out of the country.”

He added: “We are addressing the issue by starting to devalue the Egyptian pound over the past three weeks.”

The central bank allowed the pound to drop to around 7.63 from 7.15 against the U.S. dollar in the official market between late January and early February, though depreciation has halted since then.

[SnowGlobe7]

interesting...Machine...can you weigh on on this?

[yota691]

Egypt .. eliminate the black market for currency

Hisham Ramez Governor of the Central Bank of Egypt

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Saturday, March 14, 2015 - 12:52 GMT Abu Dhabi 

Abu Dhabi - Sky News Arabic

Egyptian Central Bank Governor Hisham Ramez said Saturday that the black market currency in Egypt disappeared thanks to the actions taken by the Bank.

In a speech in front of the Sharm el-Sheikh Economic Conference Ramez said the central bank put more flexible exchange rate, and the policy is more flexible, and the imposition of some of the technical rules that have already ruled on the parallel market completely. "

He added, "There is no black market anymore. Transactions in the black market is over."

Included central bank action to eliminate the black market in the currency fall to allow the official exchange rate of the pound and the imposition of a ceiling on dollar deposits in Egyptian banks and the expansion of margin buying and selling of the dollar in the bank.

The steps led the central bank to shrink the gap between strongly dollar on the black market and its price in the banks.

Ramiz said in his speech that the central bank has seen a significant increase in resources because of liquidity went to the official channels instead of the black market.

[yota691]

Egyptian pound steady on official and black market

One trader said the dollar was selling for 7.65 pounds on the black market on Wednesday, unchanged from Monday. (File photo: Reuters)

 

 

Reuters, Cairo 
Wednesday, 1 April 2015

Egypt’s central bank kept the pound steady at 7.53 pounds to the dollar at a foreign exchange auction on Wednesday, and the domestic currency was unchanged on the black market.

The central bank has kept the official exchange rate steady for more than a month after letting the pound weaken in an attempt to wipe out black-market trading.

The bank said it offered $40 million at auction and sold $38.4 million at a cut-off price of 7.5301 pounds per dollar, unchanged from its last auction on Monday.

Black-market traders said volumes have fallen dramatically since the central bank’s move against them and since it imposed a cap in February on the amount of dollars that can be deposited in banks.

The limit discourages use of the black market because those who exchange dollars outside official channels are deprived of a place to keep their funds.

One trader said the dollar was selling for 7.65 pounds on the black market on Wednesday, unchanged from Monday.

The rates at which banks are allowed to trade dollars are determined by the results of official auctions, giving the central bank effective control over exchange rates.

Last Update: Wednesday, 1 April 2015 KSA 15:05 - GMT 12:05

[SgtFuryUSCZ]

***///

 

Looks like their plan is working -- to some extent....

This thing may happen after all ! 

[yota691]

Manufacturers: we are suffering from a severe crisis due to the dollar's disappearance  

 

Cairo Gate Alovd- Salah Saadany: Thursday, May 21, 2015 15:20

 

Egypt makers arrived in many productive sectors to the final leg of «despair train», after the central bank deaf ears from hearing their cries successive,

After that the government rained Mahlab media that the breakthrough to come soon and inevitably it seems that the near future when the government is a given run !! A large number of manufacturers confirmed that they are not less than the stock market investors who responded to them and the government to freeze the imposition of capital gains tax on them for two years because of the grave, which will be hit by the stock market as a result of this decision in these difficult economic conditions experienced by the country's negative influences. Manufacturers confirmed that they had sent several reminders to the prime minister's office demanding to quickly intervene with the central bank and address the banks to speed up the opening of letters of credit, and the provision of dollar to buy a special production requirements for heavy industries and high-tech. Some manufacturers in the field of metallurgy and revealed that they had met with Ibrahim Mahlab, the Prime Minister, since more than two weeks to discuss the problem of the dollar and promised to solve it and to now have not been taking any decisive action to resolve the problem that the industry threatens to stop. One of the craftsmen and revealed that it does not make sense to do some of the banks financing importers and traders of consumer goods and ignores the industry, which buys raw materials in millions of dollars each year, and stressed that the continued disregard of banks in financing the import of production inputs led to a strained relationship with foreign suppliers who are asking for «prepaid», it which has become a heavy burden on production costs in the exporting countries, with the support of producers and exporters. He called one of the craftsmen President Sisi and the government to stop importation of goods that locally produce a final for a period of at least two years to be able to industry stand back on its feet, especially as the GATT, as well as bilateral and multilateral agreements allow governments to intervene to protect its industry from the hazards that may cause as a result of harmful practices, He stressed a need for manufacturers to impose high tariffs on any products are imported from abroad, although it produces in Egypt such as food commodities, rebar that enters Egypt without any customs, while some countries impose 30% tariffs on imported.