The Central Bank of Egypt Lowers Interest Rates by 1% in Its Last Meeting of 2025

SadaNews Economy - The Central Bank of Egypt decided to cut interest rates on deposits and loans by 1% today, Thursday, in the final meeting of the Monetary Policy Committee for the year 2025, bringing the rates to 20% for deposits and 21% for loans. It also decided to reduce the discount and credit rate by 100 basis points to reach 20.50%.

This means that the Monetary Policy Committee at the Central Bank has reduced the deposit and lending rates by 7.25% since the beginning of the year, reaching 20% and 21%, respectively, marking the first reduction in interest rates in four and a half years, with a total of five reductions: 2.25% in April, 1% in May, 2% in August, 1% in October, and 1% in December, bringing the rates down from their all-time highs.

This decision comes as the annual inflation rate in urban Egypt has slightly slowed to 12.3% in November, down from 12.5% in October, according to a statement from the Central Agency for Public Mobilization and Statistics.