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Egypt’s central bank governor resigns amid economic woes

Mandatory Credit: Photo by Str/EPA/Shutterstock (8133877b) Tarek Amer Governor of the Egyptian Central Bank Talks During a Press Conference in Cairo Egypt 03 November 2016 Egypt is to Float Its Currency in a Move That is Expected to See It Fall by Almost 48 Percent Against the Dollar the Rate is Expected to Reach One Us Dollar Equaling 13 Egyptian Pounds Egypt Cairo Egypt Economy - Nov 2016

Egypt’s central bank governor resigned Wednesday as the country struggles to address its economic woes.

President Abdel Fattah al-Sissi accepted the resignation of Mr. Amer, who had been in office since 2015 and whose term ran until 2023, and then appointed him as presidential adviser, the daily Al-Ahram reported. The brief statement offered no reasons for Amer’s resignation. He had been appointed as governor of the central bank in November 2015.

No replacement was immediately named.

Amer has been criticized over handling the country’s financial challenges which have seen the local currency slide against the U.S. dollar in recent months.

The pound has lost much of its value. The U.S. currency has been traded at over 19.20 pounds in Egypt’s banks, up from average of 15.6 pounds for $1 before the central bank’s decision to devalue the pound in March.

Inflation also increased in recent months partly because of the repercussions of Russia’s war in Ukraine. Egypt is the world’s largest wheat importer, and most of its imports come from Russia and Ukraine.

The annual inflation in Egypt reached 14.6% in July, increasing the burdens on consumers especially lower-income households and particularly for everyday necessities.

Amer’s resignation came as the government is in talks with the International Monetary Fund for a new loan to support its reform program and to help address challenges caused by the war in Europe.



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