(AFP Photo)
The Central Bank of Egypt sold $38.4m of the earmarked $40m offered to banks at its 38th foreign exchange auction held on Monday.
The cut-off price was EGP 6.7889 to the Dollar, very close to the cut-off price at the previous auction held on Thursday, which was at EGP 6.7881 to the dollar, signalling a relative stability in the Dollar price after the fall in demand.
Since last December, the Central Bank has been holding forex auctions three times per week, a procedure that aims to lower the rate of depletion in foreign reserves, which hover at around $13.5bn compared to $36bn before the 25 January Revolution, and to resolve the currency crisis which has escalated due the rapid depreciation of the Egyptian pound, which has lost 9% of its value since the start of the year.
The auctions began by offering $75m, which was later reduced to $60m and then $50m, and eventually stabilised at $40m.
