Arab Finance: The Monetary Policy Committee of the Central Bank of Egypt kept Ali Useful interest rates The main is unchanged, as the price of the deposit for one night remained at 24%, the lending price for one night at 25%, and the price of the main process at 24.5%. The discount price remained unchanged at 24.5%.
According to the Monetary Policy Committee, these decisions reflect their evaluation of the latest economic conditions since the previous meeting.
Globally, growth forecast has been reduced since the beginning of the year due to the uncertainty in commercial policies and the escalation of geopolitical tensions. In response, central banks in advanced and emerging economies have maintained a cautious approach in their monetary policies.
Oil prices saw fluctuating, mainly driven by supply factors and poor demand expectations. The prices of agricultural commodities also decreased slightly, with the support of seasonal factors. However, inflation risk is still existing, as a result of geopolitical developments, trade chains disorders, and climate -related shocks.
Locally, the immediate estimate of the Central Bank of GDP for the second quarter of 2025 shows that economic activity is witnessing a recovery, with the expectation that the annual growth rate remains close to 4.8% registered in the first quarter of 2025, compared to 2.4% in the second quarter of 2024.
The resulting gap is shrinking, and it is expected to be closed by the end of the current fiscal year 2025/2026, in light of the survival of inflationary pressures resulting from the demand aspect limited in light of the current monetary policy.
The Central Bank also expects the annual annual inflation rate will remain close to its current levels during the remainder of the year 2025, before it decreased in 2026, depending on the continued non -food inflation rates and the impact of financial procedures, including changes in the management prices.
In light of these factors, the monetary policy committee believes that it is appropriate to maintain interest rates at their current levels, while monitoring the possible effects of recent legislative changes such as VAT reforms.
The committee affirmed that it will continue to evaluate the pace and the size of future amendments in monetary policy based on economic data and risk developments, and reaffirmed its commitment with the aim of stabilizing prices of 7% (± 2 percentage points) on average during the fourth quarter of 2026.
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