Breaking News: Tarek Amer replaces Hisham Ramez as CBE governor

gypt’s central bank Governor Hisham Ramez resigned and will be replaced by Tarek Amer, a former chairman of the country’s largest commercial bank, amid a national debate on whether policy makers should push for a steeper currency devaluation.

Amer will take charge of the central bank after the end of Ramez’s term on Nov. 26, the presidency said in an e-mailed statement. Amer has also served as deputy central bank chief in the past.

Under Ramez, the central bank has taken steps to conserve foreign reserves, which remain more than 50 percent below their 2010 levels as the country struggles to recover from four years of political unrest. The policies, which include restrictions on dollar deposits, have angered many investors who have called for a steeper currency devaluation to attract foreign inflows.

Ramez blamed the shortage on the “misuse” of dollars, urging a reduction of unnecessary imports -- a call that has been supported by President Abdel-Fattah El-Sisi. He said on Oct. 18 that “weak" foreign direct investments as well as low tourism revenues are the cause of the foreign exchange shortage.

“Today’s announcement suggests a further devaluation of the pound – something we think is necessary to revive the economy,” London-based Capital Economics wrote in a note.

Egypt’s reserves have dwindled to $16.3 billion, enough to cover about three months of merchandise imports. More than $40 billion in aid from friendly Gulf nations and a Eurobond sale have failed to ease the dearth of foreign currency.