CAIRO, June 14 – The median overnight interbank rate on the Egyptian pound was steady at 8.756 percent on Thursday, the same as Wednesday s rate, in the absence of auctions for certificates of deposit, dealers said. The market has been liquid for quite some time, said one dealer. Most of the banks are squared, he added.
Banks tend to revert to the interbank market when there are no high-yielding central bank certificates of deposit, pushing rates down.
The overnight interbank rate has been hovering just above the lower limit of the corridor set by the central bank for several weeks.
The central bank offers to take overnight deposits at 8.75 percent and will lend to banks overnight at 10.75 percent.
Nine out of eleven banks contacted by Reuters reported overnight deals at between 8.752 and 8.77 percent compared with 8.755 and 8.76 percent on Wednesday.
One bank reported dealing in five-day money at 8.755 percent. On Wednesday one bank reported dealing in one-week money at 8.77 percent.
By 1100 GMT, the Egyptian pound had weakened fractionally to 5.6959 pounds to the dollar, compared with Wednesday s closing weighted average of 5.6958 pounds.
