Discounted customs exchange rate to stop

Egypt is set to end a discounted customs exchange rate in December for imports of goods that are considered non-essential, the finance minister said on Friday.

Egypt began setting a monthly fixed customs exchange rate in January last year, following the flotation of its pound currency in November 2016.

In recent months, the customs rate for all goods had been set at 16 Egyptian pounds (Dh3.28) to the dollar.

From yesterday, the rate for strategic and essential goods will remain at 16, while the rate for non-essential goods will be set as the average exchange rate listed by the central bank during the preceding month, Finance Minister Mohammad Maait said.

The non-essential goods include tobacco products, alcohol, pet food and cosmetics, the statement said. Some goods, such as mobile phones and computers exempt from customs taxes, goods including furniture and shoes manufactured locally, and cars and motorbikes, will also be subject to the new rate.