Central Bank Suspends Largest Banknote Printing Project in the Middle East

Monetary authorities in Egypt have called off the works of a proposed banknote printing press in the region. If completed, the press would have been the largest in the Middle East. Planned to be built in the Sixth of October city in Cairo, the banknote press was part of the Central Bank of Egypt’s initiative to boost the economic conditions in the country.

Local media sources, quoting Central Bank’s statement, reported that the proposed project was planned to be built in three phases at a total cost of 6 billion Egyptian pounds (983 million USD) with the first phase of investment costing around 3 billion Egyptian pounds (USD 500 million). The statement though did not provide any reasons for freezing the project.

According to Central Bank, the project was intended to improve the status of the national currencies in circulation. The statement also added that the banknotes in circulation will continue to enjoy the same status and that they have not made any decisions or laws to suspend trading on these currencies.

The Central Bank also stated that it will introduce securities between the denominations of 5 to 200 Egyptian pounds for banks in order to compensate the damage caused by the withdrawal of the project.