{"id":17248,"date":"2023-02-03T16:25:06","date_gmt":"2023-02-03T16:25:06","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/egyptian-lawmakers-hail-parliaments-endorsement-of-pact-to-join-brics-bank-economics-bitcoin-news\/"},"modified":"2023-02-03T16:25:06","modified_gmt":"2023-02-03T16:25:06","slug":"egyptian-lawmakers-hail-parliaments-endorsement-of-pact-to-join-brics-bank-economics-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/egyptian-lawmakers-hail-parliaments-endorsement-of-pact-to-join-brics-bank-economics-bitcoin-news\/","title":{"rendered":"Egyptian Lawmakers Hail Parliament’s Endorsement of Pact to Join BRICS Bank \u2013 Economics Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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Egyptian lawmakers recently hailed the parliament\u2019s endorsement of a pact that allows the country to join the New Development Bank, a report has said. According to the report, the lawmakers believe joining this BRICS-backed institution will help Egypt reduce its demand for dollars and enable it to preserve its forex reserves. <\/strong><\/p>\n

Joining BRICS<\/h2>\n

Following the Egyptian parliament\u2019s recent endorsement of an agreement that paves the way for the country to join the New Development Bank, lawmaker Mohamed Abdel-Hamid, reportedly said the move helps reduce demand for U.S. dollars. Set up by Brazil, Russia, India, China and South Africa or BRICS nation states, the New Development Bank seeks to support \u201cpublic or private projects through loans, guarantees, equity participation and other financial instruments.\u201d<\/p>\n

In addition to helping Egypt preserve its foreign currency reserves, Abdel-Hamid, who is the deputy chairman of the parliament\u2019s economic committee, said joining the institution enables the country to get the bank\u2019s support in areas such as health, infrastructure and telecommunications.<\/p>\n

\u201cEgypt\u2019s joining of the BRICS group\u2019s New Development Bank will also relieve the state budget of the pressure of finding U.S. dollars to meet the country\u2019s imports as members of the bank can use their national currencies in exchange for trade,\u201d the lawmaker reportedly said.<\/p>\n

According to an Economic Times report<\/a>, Egypt, which recently secured a bailout package from the International Monetary Fund (IMF), has become the third country to express interest in joining the group of five leading emerging economies known as BRICS.<\/p>\n

Diminishing the Dollar\u2019s Dominance<\/h2>\n

Meanwhile, Abdel-Hamid\u2019s sentiments about Egypt\u2019s prospects once it joins BRICS were also echoed by another lawmaker Mervat Mattar. In her remarks following the endorsement of the pact, Mattar characterized BRICS as an institution that will help also diminish the dollar\u2019s domination.<\/p>\n

\u201cThe BRICS group is an important forum that can steer the course of the international economy away from American domination and the U.S. dollar,\u201d Mattar reportedly said.<\/p>\n

To support her argument, Mattar reportedly pointed to the war in Ukraine and the impact of this on Egypt\u2019s import bill.<\/p>\n

Meanwhile, another lawmaker, Ahmed El-Awadi, head of parliament\u2019s defense and national security committee, said the move will create new markets for Egypt\u2019s agricultural and industrial products.<\/p>\n

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What are your thoughts on this story? Let us know what you think in the comments section below. <\/strong><\/em><\/p>\n

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\nTerence Zimwara <\/h6>\n

\nTerence Zimwara is a Zimbabwe award-winning journalist, author and writer. He has written extensively about the economic troubles of some African countries as well as how digital currencies can provide Africans with an escape route.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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