Egypt to start FX auctions to help conserve foreign reserves

CAIRO Sat Dec 29, 2012 9:10am EST

CAIRO Dec 29 (Reuters) - Egypt's central bank said it was introducing a new auction system for buying and selling U.S. dollars, adding that the country's foreign exchange reserves had reached "their minimum level".

The new system will take affect as of Sunday, Dec. 30, and run alongside and not affect the current interbank currency market, the bank said on its website on Saturday. Egypt would continue to meet instalments and interest payments on its foreign debt.

The bank called on Egyptians to "rationalise their use" of foreign currency and not to speculate.