The banking market is awaiting meetings of the asset and liability committees (ALCO) at Egyptian banks next week, which will decide the fate of interest rates on fixed-rate certificates, savings accounts and other savings products, as well as loans, following the Central Bank of Egypt's decision to raise key interest rates by 100 basis points.

The Central Bank of Egypt's Monetary Policy Committee decided to raise key interest rates by 100 basis points, or 1%, in light of economic developments, unfavorable external conditions and rising uncertainty.

Under the decision, the overnight deposit rate rose to 20% and the overnight lending rate to 21%, while the CBE's main operation rate and the credit and discount rate both rose to 20.5%.

The CBE said the decision aims to anchor inflation expectations and keep inflation on its downward path amid persistent uncertainty in the global economic environment.