Egypt is poised to introduce a new currency, with the final approval from the Central Bank of Egypt (CBE) and the cabinet being the only remaining steps. This development comes after meticulous planning and preparation, including the successful issuance of EGP 10 and EGP 20 polymer banknotes in July 2022.
Egypt’s CBE has been diligently working on the new currency, ensuring its security, durability, and aesthetic appeal. The final approval from the CBE and the cabinet is a crucial milestone. Once these authorities give their green light, the new currency can be officially launched into circulation. This process typically involves a gradual rollout, with the old currency gradually being phased out.
In Egypt’s case, the country has experienced a surge in inflation rates in recent months, partly due to the devaluation of the currency following its agreement with the International Monetary Fund (IMF). The introduction of a new currency could further exacerbate inflationary pressures if not managed carefully.
While the final approval from the CBE and the cabinet is still pending, the groundwork has been laid for a smooth transition. As the country embraces this new chapter, it is crucial to carefully consider the potential economic implications and take proactive measures to mitigate any negative effects.
