The Kanoo Group is investing long term into Egypt and expects the devaluation of the pound will help the Abu Dhabi-based diversified conglomerate to enhance its inbound travel business into the North African country, the chairman said.
“We are looking long term. I am not looking to pull money out. If it devalues, it becomes cheaper for us to invest back into Egypt,” said Mishal Kanoo.
“The fact that the government has devalued the currency is actually a positive thing for us in terms of travel because it makes it cheaper for people who want to go to Egypt.”
Kanoo Group has businesses in Egypt, which include Kanoo Travel, one of the largest travel agencies in the UAE.
Egypt devalued its currency by about 13 per cent on Monday and said it would be more flexible in managing its pegged currency to kill off the black market for dollars and increase exports. The currency was devalued to 8.85 pounds from the official rate of 7.73 pounds in a US$200 million auction. It took the market by surprise after the central bank governor complained in recent days in the Egyptian media that the pound was not fairly valued and he had denied any plans to devalue the currency.
dalsaadi@thenational.ae
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