Emirati and Egyptian central banks agree to a currency swap deal as Egypt’s economy struggles

CAIRO (AP) — The central banks of the United Arab Emirates and Egypt have agreed to a currency exchange deal, which could bolster the struggling Egyptian economy. A joint news release says the agreement would allow the two central banks to exchange up to 5 billion Emirati dirhams and 42 billion Egyptian pounds, or roughly the equivalent of $1.36 billion. Currency swap arrangements are usually deployed when nations are seeking to sure up central banks and domestic banks by providing them with extra liquidity in the form of a foreign currency. The UAE and the other gulf states have been chief backers of President Abdel Fattah el-Sissi’s government since it came to power in 2013.