Exchange Rate (13th January 2013)

[DJKeefy]

1 GBP (GBP) - 10.47 EGPs (EGP)

1 EUR (EUR) - 8.63 EGPs (EGP)

1 USD (USD) - 6.50 EGPs (EGP)

Data courtesy of Coinmill

[A-Four]

This is the usual trace that is seen before a currency is devalued.

A couple of weeks ago I wrote on here that most LE 10% currency bonds mature in January, the Egyptian press made it clear that it would be difficult to change large transactions LE to £, $ Euro, this is not really so, and we can now see the effect this is having on the LE.

Some on here will remember the disasterous Icelandic Bond Market that was paying out 7% on a £ account, this almost broke that country, it de-valued big time, and now once again, its doing very well.

It seems with the problems in Egypt, the LE could easy drop to 11-50LE to £ by the end of the month, then crash to 15LE, however with only a second rate captain at the helm of the ship with NO crew anything could happen.

P.S. - The son of Butrus Butrus Galli, was the finance minister upto the end of the Mubarak era, I wonder has he made any comment yet in the Egyptian press lately?

[A-Four]

This is the usual trace that is seen before a currency is devalued.

A couple of weeks ago I wrote on here that most LE 10% currency bonds mature in January, the Egyptian press made it clear that it would be difficult to change large transactions LE to £, $ Euro, this is not really so, and we can now see the effect this is having on the LE.

Some on here will remember the disasterous Icelandic Bond Market that was paying out 7% on a £ account, this almost broke that country, it de-valued big time, and now once again, its doing very well.

It seems with the problems in Egypt, the LE could easy drop to 11-50LE to £ by the end of the month, then crash to 15LE, however with only a second rate captain at the helm of the ship with NO crew anything could happen.

[Bullet Magnet]

May i enquire why it was that back in about 2007 maybe late 2006 ? I was getting just shy of 12LE to the 1UK pound ?

This was a brief period, as on my next trip maybe 4 month later it was back to about 9LE to the 1UK pound .

Any idea what that was all about ?

My memory isnt good, but I recall that the US Dollar may have slumped at that time. ??

[A-Four]

You are right BM, some will tell you on here that at one time it reached 13LE to the £ on the black market, but at that same time the $ had had a bit of a 'Stroke' as that fell to $2 to the £. This lasted only a short time, a reason being that international 'triggers' were in place, where by a lock in on Euro and £ account automatically sold to buy $, should this exchange rate happen, and to every ones amazement it did. I also took advantage of this while I was in Egypt, where commision is almost zero, and bought $10,000 and sold later in U.K. at a profit.

The reason why the LE has remained stable up to now is that world currency interest rates remain low, and so the main national problems have been to keep their inflation rates as near to Zero as possible, which ofcourse Egypt has failed, with no light at the end of the 'tunnel'.

You may remember the days of Norman Lamonts 'little green shoots'.

[A-Four]

As a footnote to the above you may remember that this was the peak period when international banks were selling 'rolled up' investments that were giving a 'safe' annual interest return on the so called investment, but none of them bothered to open them up to see the true value of their investments until it was too late,............and we all know what happened next.

Although no one says this today the man of the moment internationally that saved the day was Gordon Brown.

[Bullet Magnet]

Thank You A-Four

Maybe a little early in the morning for that, but then again..


Not much sleep last night, thinking about my conversation with the nurses last night, I mentioned in the closing lines of my post..
viewtopic.php?f=5&t=31246#p362967. ( probably more applicable to Stans topic on Nefi )

sort of keeping one eye open and all that . :worry:

[Winged Isis]

1 AUD = 6.78515 EGPs

It had better hold that until 20th March, or I will not be happy!

[A-Four]

Hm,.....well Wl, if you are holding Aussi $ every thing should come up smelling of roses, however if you are holding LE then,..........there may be trouble ahead, but while there is music and moonlight, and love and romance, let's face..............etc etc.

P.S. - Come on that deserves a 'like', you old stick in the muds. .