Egypt Independent: Business-Main news en Some banks denied dollars at Egypt central bank forex auction -bankers <img src="" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><p>&nbsp;Egypt&#39;s central bank said it held the pound steady at LE7.7301 to the dollar on Tuesday after a regular foreign exchange auction that caused confusion in the markets because some bankers said they had been denied dollars.</p><p>Banks are accustomed to receiving a regular quota of foreign exchange at each auction. The central bank gave no explanation on its website as to the refusals.</p><p>The central bank said it sold $39.4 million at its official announcement of the auction results, adding that the pro-rata was 57.14 percent.</p><p>Bankers said that means that fewer banks received dollars but at higher allocations. The pro-rata was around 20 percent in previous auctions, meaning banks received around 20 percent of the amount they requested at auctions.</p><p>The central bank uses regular auctions to help set the official exchange rate and announced a foreign exchange auction would be held on Dec. 1, calling for bids to be submitted from 11 am to 11.30 am (0900 -0930 GMT).</p><p>The auction for $40 million is the second since Central Bank Governor Tarek Amer started his post on Nov. 27.</p><p>Before the auction results were announced, three bankers said that they submitted bids but were told by the central bank that it had &quot;nothing to offer,&quot; while a fourth said he was told his bid had been &quot;noted&quot;. It was not clear how many banks received dollars.</p><p>Egypt, which is heavily dependent on imports, is facing a dollar shortage and mounting pressure to devalue the pound. Egypt&#39;s reserves have tumbled to $16.4 billion in October from $36 billion in 2011, and the country has been rationing dollars through weekly auctions, keeping the pound artificially strong.</p><p>The central bank had been gradually depreciating the pound through the official auctions, but the rate is still far from that on the black market.</p><p>The central bank surprised markets when it strengthened the pound on Nov. 11 by 20 piasters against the dollar, prompting speculation about a shift in monetary policy.&nbsp;</p> Tue, 01 Dec 2015 14:40:00 +0000 Reuters 2462554 at sites/default/files/photo/2015/11/20/499612/dollar.jpg Egypt central bank says clears $547.2 mn backlog owed to foreign investors <img src="" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><p>Egypt&#39;s central bank said on Tuesday it had repaid foreign investors in stocks and securities a total of $546 million, clearing a backlog that had built up amid a dollar shortage.</p><p>Foreign investors can buy stocks and treasuries in Egypt through a scheme set up to ensure they are able to repatriate their profits and investments in foreign currency.</p><p>The central bank said in its statement that the mechanism was still active, providing foreign currency liquidity to foreigners investing in government securities and stocks.</p><p>The mechanism only applies to investors who initially invested through the scheme. It was not clear whether the backlog had built up within the scheme or because investors were operating outside that system.&nbsp;</p> Tue, 01 Dec 2015 14:36:00 +0000 Reuters 2462553 at sites/default/files/photo/2014/01/27/484151/2013-03-06t142504z_329992155_gm1e9361q0501_rtrmadp_3_egypt-sukuk.jpg Egypt's market gains LE2.2 bn on Tuesday, EGX30 rises 1.1 % <img src="" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><div>Egypt&#39;s stock market closed in the green zone on Tuesday&#39;s session , as the benchmark EGX30 index rose 1.07 percent to 6,424 points with a turnover of LE310 million, the Egyptian Exchange data showed.</div><div>&nbsp;</div><div>The small- and mid-cap EGX70 index and the broader EGX100 index increased1.63 percent and 0.82 percent, respectively.</div><div>&nbsp;</div><div>Local and Arab institutions were net buyers recording net flows of LE8.7 million and LE5 million respectively, while foreign institutions were net sellers recording net flows of LE11.6 million.</div><div>&nbsp;</div><div>The EGX market gained LE2.22 billion (US$284 million), hitting LE415.22 billion, compared to Monday&#39;s LE413 billion.</div><div>&nbsp;</div> Tue, 01 Dec 2015 14:33:00 +0000 Egypt Independent 2462552 at sites/default/files/photo/2013/12/26/484151/__sqwt_mwshr_blbwrs_lmy_tswyr_mhmd_mrwf_4_536.jpeg Auction yields on Egypt's 1.5-yr and 3-yr rise, 7-yr T-bonds drop <img src="" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><div>Yields on one-and-a-half-year and three-year treasury bonds rose while seven-year bonds dropped at an auction on Monday, data from the Finance Ministry&#39;s website showed.</div><div>&nbsp;</div><div>The average yield on Egypt&#39;s zero-coupon, one-and-a-half-year treasury bonds rose to 11.84 percent from 11.832 percent.</div><div>&nbsp;</div><div>The average yield on the three-year bond rose slightly to 12.517 from 12.515 and average yields from seven-year bonds dropped to 14.437 percent from 14.446 percent.&nbsp;</div> Mon, 30 Nov 2015 13:55:00 +0000 Reuters 2462474 at sites/default/files/photo/2012/06/21/72636/mn2222222222_5_6_2012_7_51.jpg