Rafah Crossing 'never been closed for one day' from Egypt: PM    Egypt will keep pushing for Gaza peace, aid: PM    Remittances from Egyptians abroad surge 70% YoY in July–May: CBE    Sudan's ambassador to Egypt holds reconstruction talks on with Arab League    Egypt's current account gap narrows, but overall BoP records deficit    Al-Sisi urges accelerated oil, gas discoveries, lower import bill    SCZONE signs $52.6m textile industry deals during China investment tour    Egypt hosts international neurosurgery conference to drive medical innovation    Egypt's EDA discusses Johnson & Johnson's plans to expand investment in local pharmaceutical sector    I won't trade my identity to please market: Douzi    Sisi calls for boosting oil & gas investment to ease import burden    EGX to close Thursday for July 23 Revolution holiday    Egypt, Senegal sign pharma MoU to unify regulatory standards    Famine kills more Gaza children as Israel tightens siege amid global outrage    Kuwait's Crown Prince, Egyptian minister discuss strengthening cooperation    Egyptian Drug Authority discusses plans for joint pharmaceutical plant in Zambia    Egypt's FM seeks deeper economic, security ties on five-nation West Africa tour    Two militants killed in foiled plot to revive 'Hasm' operations: Interior ministry    Egypt, Somalia discuss closer environmental cooperation    Egypt foils terrorist plot, kills two militants linked to Hasm group    Giza Pyramids' interior lighting updated with new LED system    Egypt's EHA, Huawei discuss enhanced digital health    Foreign, housing ministers discuss Egypt's role in African development push    Korea Culture Week in Egypt to blend K-Pop with traditional arts    Egypt reveals heritage e-training portal    Three ancient rock-cut tombs discovered in Aswan    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Egypt's Irrigation Minister urges scientific cooperation to tackle water scarcity    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    Egypt's Democratic Generation Party Evaluates 84 Candidates Ahead of Parliamentary Vote    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Private banks move to protect their deposits after governmental banks raise interest rate to 20%
Published in Daily News Egypt on 07 - 11 - 2016

A number of private banks hastened to protect their local currency deposits, and urged their owners to not withdraw and deposit these at the governmental banks—which offered savings vessels in local currency with an interest rate of 20%.
According to an official at these banks, the decision to move the domestic interest rates comes as a response to the Central Bank of Egypt's (CBE) decision on Thursday to increase the basic interest rate by 3%, in order to protect citizens' savings, after the decision to float the Egyptian pound and the prices hikes in fuel. This is expected to lead to a severe wave of inflation in the coming period.
The National Bank of Egypt (NBE), Banque Misr, and Banque du Caire increased their one-and-a-half-year saving certificates at a 20% yield/return, and increased their three-year certificates' yield to 16%.
The Commercial International Bank (CIB) increased interest on one of its saving certificates to 19% for the quarterly yield and 18.5% for the monthly yield.
SAIB increased its saving certificates' yield from 12.5% to 16%, and offered an 18-month savings certificate at a yield of 20%.
The National Bank of Abu Dhabi (NBAD) decided to increase the interest rate on its deposit and savings accounts by 3%. The bank is also considering increasing the interest rates on its saving certificates.
Misr Iran Development Bank (MIDB) is studying increasing interest rates on its saving vessels in local currency on Tuesday, while the Egyptian Arab Land Bank (EALB) decided to offer 18-month savings certificates at a yield of 20%, and a three-year certificate at a yield of 16%, similar to the step taken by governmental banks.
The Arab Investment Bank (AIB) and other banks have followed in the footsteps of governmental banks, after studying the market and its liquidity requirements from the local currency.
The Industrial Development & Workers Bank of Egypt decided to increase its three-year savings certificates' yield by 3% to reach 16.25%, and decided to increase the interest rate on its deposits in pounds by 2% to 3%.
A large a number of savings certificates in local currency automatically increased according to the basic interest increase issued by the CBE, because they are linked to certificate pricing at the CBE. These certificates are issued by roughly 12 banks.


Clic here to read the story from its source.