Soon the central bank will decide the interest rate in the meeting… will it be fixed or reduced? – Economics

In the coming hours, the Central Bank of Egypt will announce its decision on interest rates. The Monetary Policy Committee will review deposit and loan rates every six weeks.

Central Bank Meeting Overview – October 2024

In the last meeting on October 17, the Central Bank maintained the key interest rates. The overnight deposit was set at 27.25%, the overnight lending rate at 28.25%, and the main operation rate at 27.75%. The credit and discount rates also remain at 27.75%.

Reason Behind Previous Decision

According to the Central Bank’s official statement, keeping the interest rates steady reflects both global and local economic developments since the last meeting.

Focus on Inflation

Economist Dr. Abdel Moneim El-Sayed highlights that core inflation significantly affects the decision to adjust interest rates. The core inflation in Egypt stands at 24.4% in October 2024, down from previous months.

Monthly Inflation Trends

Recently, the Central Bank reported a change in the monthly core consumer price index. It rose by 1.3% in October 2024, compared to 1.8% in October 2023 and 1% in September 2024.

This information will play a crucial role in the upcoming decision about interest rates, impacting the economic landscape in Egypt.