Tarek Tawfik, deputy chairperson of the Federation of Egyptian Industries (FEI), said that the increases in the dollar value against the Egyptian pound is temporary, expecting that the dollar value will reach EGP 15 by the end of the current year.
Tawfik attributed the current increases in the dollar value to the implications of economic measures, such as the currency flotation and delays in import applications and unmet debts.
The dollar value of EGP 18 is temporary, Tawfik told Daily News Egypt, adding that the lack of availability of the dollar led to the reluctance of companies to increase their production capacity.
The dollar’s appreciation has no effect on factories’ production, he pointed out.
The deputy chairperson expects a boom in the economy by the end of the current year.
In the short term, the flotation has positive signs, such as a 25% increase in exports and as a decrease in imports; however, the industries that rely on full import components face a problem, but it is a temporary problem until these industries adapt with new conditions in the market.
The FEI is organising foreign tours to promote investment in Egypt on the ministerial level and the business level.
