Categories: Economic News

Egypt says central bank governor resigns amid economic woes

CAIRO (AP) – Egypt’s central bank governor resigned Wednesday as the country struggles to deal with its economic woes.

President Abdel Fattah el-Sissi accepted Tarek Amer’s resignation and appointed him presidential adviser, the Egyptian leader’s office said in a statement.

The brief statement offered no reason for Amer’s resignation. He had been appointed governor of the central bank in November 2015.

No replacement was immediately named.

Amer has been criticized for his handling of the country’s financial challenges, which have seen the local currency fall against the US dollar in recent months.

The pound has lost much of its value. The US currency has traded at more than 19.20 pounds at banks in Egypt, up from an average of 15.6 pounds to the dollar before the central bank’s decision to devalue the pound in March.

Inflation also rose in recent months, partly because of the fallout from Russia’s war in Ukraine. Egypt is the largest importer of wheat in the world, and most of its imports come from Russia and Ukraine.

Annual inflation in Egypt reached 14.6% in July, increasing the burdens on consumers, especially lower-income households and especially for everyday needs.

Amer’s resignation came as the government was in talks with the International Monetary Fund to secure a new loan to support its reform program and help deal with the challenges posed by the war in Europe.

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