The Central Bank of the UAE and the Central Bank of Egypt (CBE) renewed a currency swap agreement between the UAE dirham and the Egyptian pound on Tuesday.
The nominal value of the swap agreement is AED 5bn, equivalent to EGP 69bn, and extends for five years. The renewal reflects the ongoing commitment of both parties to enhance bilateral trade, consolidate financial cooperation, and support economic development in both countries.
The agreement was signed by Khaled Mohamed Balama, Governor of the Central Bank of the UAE, and Hassan Abdalla, Governor of the Central Bank of Egypt.
The UAE central bank governor stated that the renewal reflects the depth of strategic relations between the two countries.
“The agreement contributes to supporting financial stability and facilitating trade and investment operations between the two countries,” Balama said. “It represents an advanced step within our efforts to deepen the use of local currencies in bilateral settlements, in line with best international practices, and enhances the resilience of the financial system in both countries.”
The Egyptian CBE governor described the renewal as an extension of close cooperation supporting joint efforts to consolidate economic ties.
“The agreement provides an important tool to enhance trading in local currencies for commercial and financial settlements, which strengthens the resilience of financial markets in both countries,” Abdalla said. “We look forward to this step contributing to opening wider horizons for cooperation in finance and investment.”
Both parties affirmed their keenness to continue joint work to enhance financial and banking cooperation, achieving mutual interests and supporting economic stability and growth in both the UAE and Egypt.
