Egypt secured an extra $5 billion in IMF loans on Wednesday, the two sides said, after the central bank hiked interest rates and allowed the pound to plunge by nearly 40 percent.
The central bank’s decision to raise the key deposit rate to a record 27.25 percent, in a move aimed at reining in rampant inflation, caught the market by surprise.
The bank also committed to “allowing the exchange rate to be determined by market forces”, saying in a statement that “the unification of the exchange rate is crucial”.
