Egypt raises customs dollar to LE 49.56

CAIRO - 7 March 2024: Egypt has raised the customs dollar to LE 49.56 following the increase in the dollar in banks on Wednesday, March 6.

 

The announcement came a day after the Central Bank of Egypt's decision to float the Egyptian pound (EGP) and increase interest rates by 600 basis points.

 

The customs dollar is an economic term that represents the exchange rate of the dollar against the pound, used by customs authorities to determine the value of imported goods for calculating customs duties based on it.

 

The dollar rate in banks exceeded LE 50 on Wednesday, after the Central Bank of Egypt raised interest rates by about 6 percent in an exceptional meeting, before decreasing below the 50-pound level in several banks, Thursday.

 

The CBE raised the overnight deposit rate, the overnight lending rate, and the rate of the main operation by 600 basis points to reach 27.25 percent, 28.25 percent, and 27.75 percent, respectively. Additionally, the discount rate has been raised by 600 basis points to 27.75 percent.

 

Egypt started setting a monthly fixed custom exchange rate in January 2017 following the flotation of the pound. Customs dollars have since been set each month.