Egyptian pound and the dollar .. Stops and historical stages - by yehia
At the beginning of the sixties, Egypt announced agreement with the IMF that the Egyptian pound equivalent of U.S. $ 2.3-taking at that price stability for a long period that began decline of the pound against the dollar has reached 320 U.S. dollars per penny at the beginning in 1991.
The reason for this decline is economic reform in cooperation with the International Monetary Fund has been installing the pound against the dollar at 320 pts.
Although fixing the exchange rate began to increase the value of the dollar against the pound in 98 up to 347 pounds to the dollar and the effects of this concern CBE, which proceeded to intervene rapidly to control the exchange rate by pumping a large amount of foreign exchange.
Marched in the Central Bank the same vein 99 at the beginning of pumping large quantities of foreign currency in an attempt to control the rising prices.
It is noteworthy that the process of pumping by the Central Bank led to a decrease in losses and the reserve price differential between the official exchange rate of $ (430 pts) and sold at market rate (348 pounds).
Although the pumping operations but the dollar continued its rise before the Egyptian pound.
Despite attempts were fruitless to try to control the exchange rate tended to contrast the government is the liberation of the exchange rate in 2003.