Egypt suddenly announced a 15% increase of exchange rate and France’s riot spread to Belgium, so the export to the above-mentioned nations is risky in payment and delay!

Author:      Date: 2019-01-24 10:14:36

The abruptly sharp change of the exporters’ exchange rate will result in the fact that the consignees abandon the goods or reject the payment for goods. Moreover, the riot in the destination port also will delay the arrived goods!


The foreign trade cargo forwarders need to know well about the emergencies of the three important destination exporters!

Egypt suddenly announced a 15% increase of exchange rate.


Since 3 November, 2016, USD/EGP exchange rate has been stable at the rate of 1:16, without change within recent 13 months. Nonetheless, the last month in 2018 made a sudden change!

Recently, Ministry of Finance of Egypt announced the new customs foreign exchange settlement rate list of December, 2018, with USD/EGP exchange rate rising from 1:16 EGP to 1:17.79 EGP.

Ministry of Finance of Egypt announced a decision to enhance USD settlement price of non-necessities and entertainment products and link such price with official foreign exchange rate of Central Bank of Egypt, with the expiry date of 31 December, and will announce the foreign exchange settlement price list of January 2019. Traders and importers anticipated that the decision of Ministry of Finance is estimated to increase the commodity price up to 10%-15%.


Chairman of Confederation of Egyptian Industry Engineering Manufacturing Association, engineer Mohamed said that, such products as mobile phone and computer have been depending on import in the long term; due to the rise of the customs foreign exchange settlement exchange rate, it is estimated that the prices of such products as mobile phone and computer will rise with the same percentage of the customs USD settlement price. He estimated that the margin of price rise of such products as mobile phone and computer is between 12% and 15%, and the risen price will ultimately be paid by the customers.

According to the goods list announced by the Ministry of Finance of Egypt, the affected goods include most of the varieties of garments and accessories. Chairman of Egyptian Chambers of Commerce Garment Branch Yahya Zananiri said that the decision of the Ministry of Finance will increase the price of import garment price up to 15%. He also added that the import garments in the current Egypt market account for 40%-50%; a price rise of 15% or so will worsen the depressed sales status.