Why is Egypt's economic situation so dire?
At present, Egypt's economic situation is quite serious. Recently, Egypt's central bank suddenly announced that it would liberalize exchange rate control, implement market-oriented exchange rates to ease foreign exchange difficulties, and raise interest rates by 600 basis points. On the news, the Egyptian pound plunged, from 31 to 50 against the dollar, a drop of nearly 40 per cent and the steepest on record.
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