Egypt median o/n interbank near steady at 8.755 pct

CAIRO: The median overnight interbank rate on Egypt s pound was broadly steady at 8.755 percent on Tuesday compared with 8.756 percent on Monday in a liquid market despite a large central bank auction, traders said. The central bank was auctioning 7-day certificates of deposit worth LE 10 billion, but traders said they were replacing existing maturities and had little effect on rates. There is an auction of 10 billion pounds, but the redeemed amount is the same as the outgoing amount, one trader said. Banks tend to turn to the interbank market in the absence of significant CD auctions that would otherwise absorb liquidity. The rates have been hovering just above 8.75 percent for the past month. The central bank keeps overnight interest rates within a corridor by offering to borrow at 8.75 percent and lend at 10.75 percent. Five out of 11 banks contacted by Reuters reported overnight deals at 8.755 percent, compared with a range of 8.755 and 8.76 percent on Monday. One bank reported dealing in one-week money at 8.76 percent. By 1000 GMT, the Egyptian pound remained steady at LE 5.6958 to the dollar, compared with Monday s closing weighted average of 5.6958.