Egyptian Pound Has Bears Betting on 14% Drop as IMF Deal Nears

  • IMF says it expects to reach staff-level agreement soon
  • Currency trades at record low of 19.7 per dollar Monday

An exchange of Egyptian pound banknotes at a market in Cairo, Egypt. 

Photographer: Islam Safwat/Bloomberg
Lock
This article is for subscribers only.

Investors are bracing for steeper declines in the Egyptian pound, with the North African nation expected to seal a preliminary deal with the International Monetary Fund in just days.

Derivatives traders stepped up bets that Egypt will let its pound weaken further after the IMF -- which favors greater currency flexibility -- said it expects to reach a staff-level agreement with the North African nation “very soon.”Bloomberg Terminal