I wonder what is happening in the foreign exchange market? Why did the dollar move again? Is there a new float for the pound, as many people say? Watch this video until the end and we will tell you exactly what is happening and where the world is going.
In the past, when we talked about the exchange rate, this word was confusing, because it was associated with great problems and pressures. Many people were afraid of the word “float” because what happened before was very difficult, but this time the picture is completely different.. The state, with its experience and all its financial and supervisory apparatuses, has absorbed the lessons of the past very well, and the message is clear from the government: there is no room for a large float or the crazy increases that we have seen. In the past, there was no other black market in the price of the dollar, and there was no multiplicity in the price of foreign currencies, and the price would be unified in approved banks and exchange companies.
Dr. Mostafa Madbouly, Prime Minister, said it clearly, “We will not repeat the mistakes of the past. Egypt is walking with a flexible exchange rate policy that gives freedom to the market and at the same time maintains stability.”
Of course, we all remember what happened back in the day when there was a big jump in the price of the dollar against the pound.. The pressures were difficult, the market was affected, and prices were moving like crazy.. But let us ask ourselves: Will history be repeated? The clear answer from the government: No, it will not happen again.
Counselor Muhammad Al-Homsani, spokesman for the Council of Ministers, came out and said it frankly: There is no need to be afraid.. The pound is in a strong and controlling position, and we will not see again the huge rises that we saw before.
Since last March, the Egyptian pound has been moving at very small rates compared to the dollar. If we look at the numbers, we will find that the increase that occurred was from 47 to 49 pounds, meaning a rate ranging between 4 and 5%. This means that things are under control and the world is proceeding logically and naturally.
The official spokesman for the Council of Ministers categorically denied everything that is said about the rise of the dollar in large proportions or jumps that happened before, and he said that all of this is just speculation and rumours.. and the government is committed to maintaining market stability, and what actually happened is that we eliminated the parallel market and unified the exchange rate.
Ok, let us ask: Why are so many people trying to scare you about the collapse of the pound? Are there actual indicators of market instability? How was the government actually able to control the situation?
The answer is simple.. The state works with a clear plan and the lessons of the past were an opportunity to correct the course.. When the market remains unified and investors work comfortably, this creates a stable climate for both investors and the ordinary citizen.
Dr. Mostafa Madbouly explained that the flexible exchange rate policy was a necessary step for reform.. There are no random interventions like in the past and there is no comprehensive float that leads to huge increases.. The number moves within a small and very acceptable framework and the economy benefits from this stability.
The most important thing in the Prime Minister’s statements is, “We will not repeat the mistakes of the past.” Simply because the new approach rests in the confidence of investors and Egyptians in general.
The government has learned from its mistakes, and the future is built on strong stability, and the pound today is not only a symbol of the economy, but it is also a message of confidence to all Egyptians.
