Banks have bought and sold some USD 1.9 bn on the interbank market since Wednesday morning, when the central bank unveiled its decision to move to a flexible EGP exchange rate and hike interest rates by 600 basis points, Asharq Business reported, citing four unnamed bankers. The USD is currently changing hands in banks at 49.3-49.7.

CREDIT CARD RESTRICTIONS EASING-

Banks have started easing FX spending limits: State-owned National Bank of Egypt (NBE) and Banque Misr, CIB, and the Arab African International Bank (AAIB) were among the banks who have revised their monthly credit card FX spending limitsafter the CBE instructed banks to gradually lift restrictions on credit card FX transactions.

  • NBE has raised the cap on FX transactions to the equivalent of EGP 25k-160k — depending on the card’s segment — from EGP 7k-85k, according to the bank’s website. Meanwhile, it raised the cap on FX withdrawal abroad to EGP 2.5k-7.5k.
  • Banque Misr has raised the ceiling on FX transactions abroad to the equivalent of EGP 10k-200k from EGP 6k-95k, according to the bank’s website. Meanwhile, it raised the ceiling on FX transactions at home to EGP EGP 25k from EGP 7.5k. FX withdrawals were kept unchanged.
  • CIB has raised the ceiling on FX transactions abroad to the equivalent of EGP 25k-175k from EGP 15k-100k, according to a statement (pdf) from the bank. Meanwhile, it raised the ceiling on FX transactions at home to EGP 3.5k-12.5k from EGP 2k-7.5k. FX withdrawal limits were kept unchanged.
  • AAIB has raised the cap on FX transactions abroad to the equivalent of EGP 50k-150k from EGP 25k-75k, the bank’s website showed. Meanwhile, it raised the cap on FX transactions at home to USD 1k from USD 250. FX withdrawal limits were kept unchanged.

Debit card limits are here to stay: The CBE has no intention to fully scrap limits on debit cards, a CBE official told Asharq Business.

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