Egypt’s central bank raises interest rates, cites Ukraine

By SAMY MAGDY
Associated Press

CAIRO (AP) — The Central Bank of Egypt has raised its key interest rate for the first time since 2017, citing inflationary pressures triggered by the coronavirus pandemic and Russia’s war in Ukraine. The war hiked oil prices to new records. The key rate was raised by 100 basis points, to 9.75%. Monday’s development pushed the Egyptian pound to slide, trading at over 18 to the dollar by mid-day — up from an average of 15.6 pounds for $1. The war in Ukraine has shaken the global economy and threatened food supplies and livelihoods of people across the world. The repercussions quickly reached Egypt, the world’s largest wheat importer.