09/10/2004
Al-Ahram Al-Arabi Magazine 2004/OCTOBER /09
In this article, after announcing the latest customs reductions, many tally-clerks expected a return to dollar standards in order to increase the orientation towards it. The reason behind this may be the current atmosphere of mistrust with the economy, which was established during the previous period, in addition to the Egypt’s culture of consumption. Consequently, merchants of the black market have spread rumors of an increase in the rate of the dollar among the classes of society. As a result, the price increased to 630 piaster for about three days.(Available in Arabic – German in PDF )
In this article, after announcing the latest customs reductions, many tally-clerks expected a return to dollar standards in order to increase the orientation towards it. The reason behind this may be the current atmosphere of mistrust with the economy, which was established during the previous period, in addition to the Egypt’s culture of consumption. Consequently, merchants of the black market have spread rumors of an increase in the rate of the dollar among the classes of society. As a result, the price increased to 630 piaster for about three days. Prime Minister, Dr. Ahmed Nazif, emphasized the fact that the government tends to improve the rate of exchange and decrease the value of the pound. The Minister of Investment, Dr. Mahmoud Mohy El Din, debauched the fear of returning to the act of dollarization. He also highlighted the importance of the Central Bank, which deals with those attempting to return to the black market. In addition, he stated that the banks can fulfill the needs of importers. Importers stated that they do not intend to increase the amount of imports in the future. They need time to be able to distribute stored goods. They also will not make contracts for large orders due to the announcement of new custom discounts that shall take place the following year.