15/05/1995
Al-Ahram Al-Ektsady Magazine 1995/MAY /15
Protection against dollarization, according to experts, requires thinking of a new relation between dollar and pound to magnify the differential between their interest rates and find an alternative to dollar. If this is impossible at present, there is no problem to draw a new relation between dollar and pound in the future. ( Available in Arabic )
Protection against dollarization, according to experts, requires thinking of a new relation between dollar and pound to magnify the differential between their interest rates and find an alternative to dollar. If this is impossible at present, there is no problem to draw a new relation between dollar and pound in the future. Experts are of the view that the dollar’s rate should remain stable versus the Egyptian pound in order to protect the latter. The policy of supporting the dollar in the local market and keeping its rate relatively stable against the Egyptian pound helps protect the Egyptian industry and curbs the dumping policies. It also leads to the increase of the cost of imports, especially from the joint European market, Japan and Southeast Asian countries. This policy also results in the decline of the price of Egyptian exports in world markets.