The restriction on the maximum amount of cash deposits for both people and businesses at bank branches and automated teller machines was repealed by the Central Bank of Egypt (CBE) ATMs. The bank also removed restrictions on cash deposits entirely.
The cap on cash withdrawals was imposed during the Covid-19 financial crisis. The CBE also raised the maximum limit for cash withdrawals from banks from EGP50,000 ($2,600) to EGP150,000 ($7,825.05) while maintaining the EGP20,000 ($1043.34) maximum limit for ATM withdrawals, the bank’s newly appointed governor Hassan Abdalla announced in a circular.
“The cancellation comes in light of the declining coronavirus infections and as a part of efforts to make it easy for citizens and companies to deposit money”, the bank said in a statement on Thursday.
The nation has reported that its GDP will expand by twice as much as it did the year before, to 6.6% in 2021–2022. Egypt’s Prime Minister Moustafa Madbouli stated that the predicted growth rate for the conclusion of the fiscal year had been calculated at 6.2% when announcing the data on economic growth. The unemployment rate stabilized at 7.2%, an encouraging figure.
“The real challenge for the state is the global phenomenon of high inflation rates”, he said. The current inflation rate in Egypt is 14.6%.
The IMF warned last month that Cairo still needed to make “decisive progress” on budgetary and structural reform. Egypt started talks for a new loan in March. Since Russia attacked Ukraine in February, the Gulf nations have contributed tens of billions of dollars in investments and deposits to help Egypt, bringing a wave of inflation smashing through the global economy. They are anticipated to contribute considerably more to aid Cairo in securing an IMF agreement.
