As Saudi Arabia extended the maturity of its $5 billion deposit at the Central Bank of Egypt, the Gulf countries’ $28 billion deposits in Egypt were protected.
In a written statement, the Ministry of Finance of Saudi Arabia announced that the maturity of deposits of 5 billion dollars at the Central Bank of Egypt has been extended.
In the statement, it was stated that the said decision was taken by the orders of Hadimul Haramayn (King Salman) and the Crown Prince (Muhammad bin Salman), as an indication of the historical ties between Saudi Arabia and Egypt.
The investments of the Gulf countries, led by Saudi Arabia and the United Arab Emirates (UAE), have made up the majority of the deposits in the Central Bank of Egypt for the last 5 years.
While the Egyptian currency cuneyh / US dollar parity has depreciated by 74.7 percent in the last 10 years, the Central Bank of Egypt met with the managers of the banks operating in the country on 28 November to overcome the foreign exchange shortage and attract foreign investors.
In its report released in August, the Central Bank of Egypt announced that Gulf countries have $28 billion in deposits, $15 billion long-term and $13 billion short-term.
