Global Courant
An unknown rise in the gold price took place before the final holiday of Eid al-Fitr, until Prime Minister Mostafa Madbouly met with senior traders and the gold division and made several proposals that led to a gradual fall in the gold price.
A member of the board of directors of Gold Division at the Federation of Egyptian Chambers of Commerce (FEDCOC) Amr Maghraby said the situation is different now this year.
He explained that there has been great stability and a marked fall in the gold price in recent weeks after a historic period of bullion appreciation, indicating that government decisions impressed.
Maghraby added that the period leading up to the Eid holiday has typically been accompanied by an increase in gold prices caused by an increase in demand and a lack of supply.
The government opted this year to let gold in with expatriates tax-free, and a whopping 215 kilograms of gold entered the Egyptian market, he said.
According to him, all these things were also related to the fall in the gold price on the world exchange and the sharp fall in demand internally.
All these things have contributed to a very large fall in the price of gold and he explained that there is expected to be stability in the near future in addition to the stability of the exchange rate of the US dollar against the Egyptian pound.
Gold is expected to continue falling after Eid al-Adha, especially with the stability of economic conditions in Egypt, and so the decline will continue for the foreseeable future, with no expectations of future gains, Maghraby concluded.
