The winners and losers of interest rate hikes

There is more to lose than win after the CBE’s decision to hike interest rates, Abbas El Tarabily writes in a Nasserist, anti-capitalist piece for AMAY. While the government is likely to warmly receive the move, as it will lure more funds into the banking system, it fails to consider the fact that higher rates mean higher investment costs, unemployment rates, and increased product prices, not to mention, hampered exports. The only winners, says Tarabily, “are the lazy businessmen looking for safe and easy returns on their investments.” We wonder why we bother with this section sometimes.