Egyptian pound inches up at forex sale

CAIRO: The Egyptian pound strengthened slightly at a central bank sale of foreign currency on Monday, extending a run of tentative gains since the July 3 overthrow of President Mohamed Mursi.

The central bank sold $38 million and the cut-off price strengthened to 6.9790 Egyptian pounds per dollar from 6.9797 on Wednesday, the central bank said. The cut-off price on July 3 was 7.0184.

The bank had offered $40 million. The pound was weaker on the black market, with one dealer saying he was prepared to buy dollars for 7.07 Egyptian pounds and sell them for 7.10 pounds.

Last Monday, before the four-day Eid al-Fitr holiday, the dealer had said he bought dollars for 7.05 Egyptian pounds and sold them for 7.10 pounds.

The central bank introduced the currency sales, held three times a week, at the end of December to help stave off a currency crisis and thwart a run on the pound.

Since then, the currency has lost more than 11 percent of its value on the official market.