CAIRO May 27 Egypt's central bank sold $38.4
million to banks in a foreign exchange auction on Monday, with
the cut-off price unchanged at 6.972 Egyptian pounds to the
dollar for the second auction in a row.
Currency dealers say the government may be reluctant to
allow the pound to weaken below the psychologically important
mark of 7.00 to the dollar.
On the black market, one dealer was offering on Monday to
buy dollars for 7.36 pounds and to sell dollars at 7.40 pounds.
The central bank introduced the auctions at the end of
December to help stave off a currency crisis and thwart a run on
the pound. Since then, the currency has lost 11 percent of its
value on the official market.