IMF lauds government's policies to maintain market stability

It was not very assuring when the IMF lauded Argentina for its monetary policy just before the country went into complete financial disorder, but their comments regarding what the Egyptian Government need to do in respect of making the EP/$ rate flexible is on the money. This will not just save the central bank precious hard currency reserves but will also have a substantial impact on lifting and liberalising the Egyptian Capital Markets which many foreign Bankers found to their frustration to be overly restricted and limited due to exchange rate and hard currency constraints.

Egypt need to embrace the real idea of free capital Markets. Let the pound find its true level rather than actively trying to control it. And as many Governments have found out to their detriment, the market is always more powerful than any money you bet against it.