Egypt Central Bank Governor resigns amid economic woes

The Central Bank Governor of Egypt, Tarek Amer has resigned as the country struggles to address economic woes.

His resignation letter did not state any reason for his decision, however, local media reports that President Abdel Fattah Al-sissi has accepted his resignation and has also appointed him as presidential adviser.

Any clue about his resignation?

Mr. Amer, who had been in office since 2015 and whose tenure is due to complete in 2023, has been facing criticism on how he’s been handling the country’s financial challenges which have seen the local currency slide against the U.S dollars in recent times.

Under his tenure, Egypt saw two currency crises in 2016 and 2022 and was also hit by the twin shock of the Covid-19 pandemic and the Russia-Ukraine war. His Central Bank also raised the interest rates to among the highest levels in the world, attracting large foreign inflows that quickly dried up early this year.

Annual inflation in Egypt reached 14.6% in July, increasing the burdens on consumers, especially lower-income households.

Why is his resignation of important concern now?

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

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