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CBE lowers interest rates by significant 2.25%

Businessmen Team اقتصاد 17 April 2025 10:20 PM
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CBE lowers interest rates by significant 2.25%

In its meeting on Thursday, April 17, 2025, the Monetary Policy Committee (MPC) of the Central Bank of Egypt decided to cut its overnight deposit rate, overnight lending rate, and main operation rate by 225 basis points to 25.00%, 26.00%, and 25.50%, respectively. The MPC also decided to cut the discount rate and the credit rate by 225 basis points, bringing them to 25.50%.

The Monetary Policy Committee considers the 225 basis point cut in the Central Bank's key interest rates appropriate for maintaining a suitable monetary policy stance. This aims to anchor inflation expectations and support the anticipated downward trend of inflation. The Committee will continue to assess its monetary tightening decisions (period and intensity) at each meeting, emphasizing their dependence on expectations, associated risks, and incoming data. Furthermore, the Committee will closely monitor economic and financial developments and their potential impact on economic indicators. It stands ready to use all available tools to achieve price stability by steering inflation towards its target of 7% ± 2 percentage points in the fourth quarter of 2026.