CAIRO: The median overnight interbank rate on the Egyptian pound rose slightly to 8.65 percent on Monday from Sunday s 8.64 percent in active trade on the final day of the central bank reserve period, bankers said. The central bank measures banks reserves over a two-week period ending on Monday. A new period begins on Tuesday. Traders said banks were short of cash because they had competed aggressively in recent government auctions. The market was short for the last couple of days because many banks have not yet squared their positions, possibly because the government accepted more bids for CBE notes and treasury bills than expected, a trader said. Six out of 10 banks contacted by Reuters had dealt overnight at rates between 8.5 and 8.8 percent, compared to a range of between 8.35 and 8.7 percent on Sunday. The central bank effectively controls overnight rates by offering 8.25 percent on overnight deposits and lending at 10.25 percent. One bank had dealt one-week money at 8.5 percent. None had dealt on Sunday. By 11:00 GMT, the pound was largely unchanged against the dollar at LE 5.7344 compared to Sunday s closing weighted average of LE 5.7343. Reuters
Egypt median o/n interbank rate rises to 8.65 pct
