Economics
World’s Top Real Rate Is Just Right for Egypt: Decision Guide
- Easing may wait as foreign investment in local debt at record
- Surge in U.S. bond yields affecting other emerging markets
Photographer: Khaled Desouki/AFP/Getty Images
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Spiking U.S. Treasury yields and a rise in global commodity prices mean Egypt is likely to leave the world’s highest real interest rate unchanged on Thursday.
With investors fleeing riskier assets, Egypt’s focus will likely be on retaining the competitive edge that’s driven foreign investment in its debt to a record high. All 12 economists surveyed by Bloomberg predict the central bank’s Monetary Policy Committee will hold its benchmark deposit rate at 8.25% for a third consecutive meeting.