The Saudi riyal saw a noticeable movement against the Egyptian pound in official transactions at Egyptian banks today, recording a slight increase compared to yesterday's trading, reaching nearly 12.55 Egyptian pounds for selling in most major banks. This movement comes within the framework of supply and demand mechanisms currently governing the Egyptian foreign exchange market.
Saudi Riyal exchange rate today in banks
According to the latest trading screens, the exchange rates of the Saudi Riyal in the most prominent banks operating in Egypt were as follows:
- The Central Bank of Egypt: The average price recorded was 12.52 Egyptian pounds for buying and 12.55 Egyptian pounds for selling.
- National Bank of Egypt: The price reached 12.48 Egyptian pounds for buying and 12.55 Egyptian pounds for selling.
- Bank of Egypt: Recorded the same levels as the National Bank of Egypt at 12.48 Egyptian pounds for buying and 12.55 Egyptian pounds for selling.
- Commercial International Bank (CIB): Recorded 12.50 pounds for buying, and 12.55 pounds for selling.
- Bank of Alexandria: Recorded 12.51 pounds for buying, and 12.55 pounds for selling.
- Abu Dhabi Islamic Bank: Recorded 12.20 pounds for buying, and 12.54 pounds for selling.
- Suez Canal Bank: The highest selling price was recorded at 12.56 Egyptian pounds, while the buying price was recorded at 12.47 Egyptian pounds.
Compared to yesterday's trading
Compared to yesterday's closing rates, we observe an increase in both the buying and selling prices. Yesterday, the riyal was trading at 12.45 Egyptian pounds for buying and 12.49 for selling at the Central Bank, while at the National Bank of Egypt and Banque Misr, the rate was around 12.41 for buying and 12.49 for selling, reflecting an increase of approximately 6 piasters in today's selling price.
The importance of exchange rate stability and the factors affecting it
The Saudi riyal's exchange rate is of paramount importance to the Egyptian public for two main reasons: first, the large volume of trade between Egypt and Saudi Arabia, and second, the presence of a large Egyptian community in the Kingdom, which is the primary source of remittances from Egyptians abroad. These remittances directly impact the supply of Saudi currency within the Egyptian banking sector.
Egypt currently follows a flexible exchange rate policy, allowing the currency's value to be determined by supply and demand. This has significantly contributed to eliminating the parallel market and unifying the exchange rate, thereby boosting investor confidence and foreign currency inflows. Minor fluctuations (up and down) of just a few piasters are considered evidence of the soundness and flexibility of the current banking system in absorbing daily changes.
Impact of the Umrah and tourism season
As the Umrah season continues, demand for the Saudi Riyal typically increases among pilgrims and religious tourism companies. Egyptian banks work to provide the necessary foreign currency to meet travelers' needs in accordance with established regulations, contributing to market stability and preventing significant price fluctuations.
