The Central Bank of Egypt’s (CBE) last decision to raise interest rates is aiming at helping the biggest economy in North Africa to build up international reserves, Arqaam Capital said in a research note issued on Tuesday. “We believe the CBE could have opted to raise rates to render Egyptian debt even more attractive to help build up its international reserves in anticipation of next year’s debt payments,” the Dubai-based consultancy said. Egypt’s foreign reserves edged up to $28.641bn at the end of April from $28.5bn at the end of March. Meanwhile, the IMF welcomed raising the interest rates, saying it aims at the welfare of the Egyptian people and tackling a rampant inflation. It aims at the welfare of the Egyptian people,” Chris Jarvis, the IMF’s mission chief for Egypt, told Al-Borsa.

Source: Daily News Egypt May 23, 2017 15:56 UTC