Egypt’s market interest rates slightly decline despite CBE’s 0.5% cut

The Egyptian market has witnessed a limited decline in interest rates during the past week, despite the Central Bank of Egypt’s (CBE) 24 September decision to reduce its basic rates by 0.5%.

The slight downturn reported in government debt instrument returns, and some saving vessels available at certain banks operating in the local market.

Following the CBE decision, the interest rates on variable-return certificates and some loan products whose pricing is connected to the basic interest rates automatically decreased.

In the Egyptian market, about 29 variable-return certificates have been issued by 24 banks, in addition to a large number of variable-return loan products.