The Central Bank of Egypt has requested commercial banks, today Tuesday, to impose restrictions on clients' use of credit cards for transactions in foreign currencies both domestically and abroad. This is the second time within a week that stringent measures regarding cards have been implemented. Last week, the Central Bank asked banks to suspend the use of debit cards in Egyptian pounds for purchases abroad to halt the depletion of foreign currency. Now, in verbal instructions to banks, the Central Bank has expanded the restrictions to include credit cards.
The Central Bank stated in a press release, "Due to recent abuses observed from some speculators using these cards to make cash withdrawals abroad without actually traveling, instructions have been issued to banks to open and activate the maximum credit limit granted for the credit card for use abroad." The bank added that this measure will be implemented "once the client contacts the customer service center of the issuing bank and informs them of their travel abroad in accordance with the regulatory procedures applicable at the bank."
Three bankers indicated that domestic transactions will now be limited to the equivalent of 250 dollars per month.
