Egypt Central Bank Holds Rates at 19%/20%

Egypt Central Bank Keeps Benchmark Rates Unchanged Amid US‑Iran Tensions

Egypt’s Monetary Policy Committee left the benchmark deposit rate at 19% and the lending rate at 20% on Thursday, marking the third consecutive meeting with no change. The decision was announced in a statement released by the Central Bank of Egypt and came despite all six Bloomberg‑surveyed economists forecasting a hold.

The hold follows Egypt’s pause of its nearly year‑long monetary‑easing cycle that began when the US‑Israeli war on Iran started in late February 2026. Renewed strikes between the United States and the Islamic Republic this week have heightened uncertainty about a definitive end to the conflict, which has been disrupting global energy markets.

Inflation data released by the Central Agency for Public Mobilization and Statistics showed that the monthly urban headline consumer‑price index (CPI) fell 0.4% in June 2026, improving from a 0.1% decline in June 2025 and a 1.6% rise in May 2026. On an annual basis, urban headline CPI eased to 14.3% in June 2026 from 14.6% in May 2026.

Core CPI, as reported by the Central Bank of Egypt, increased 0.3% month‑on‑month in June 2026, compared with a 0.2% decline in June 2025 and a 1.6% rise in May 2026. Annual core CPI stood at 14.3% in June 2026, up from 13.8% in May 2026.

All six economists surveyed by Bloomberg had predicted that the committee would keep rates unchanged.