The CBE has decided to set the overnight lending rate at 14.25 percent and the overnight deposit rate at 13.25 percent.

It also raised interest rates by 200 basis points in an exceptional meeting of its monetary policy committee.

In statements to MENA on Thursday, the experts said the decisions of the CBE's monetary policy committee are meant to handle the inflation impact.

Chairman of the United Bank of Egypt Ashraf Qadi said the decisions are the fruits of the Egyptian Economic Conference 2022 meant to have free economy backing the development process.

The decisions will increase confidence in the Egyptian economy and encourage foreign investments, Qadi added.

Meanwhile, economic and finance expert Medhat Nafea lauded as "powerful and successful" the CBE's decision on upping interest rates.

He lauded the role of the CBE as being on the right track to address inflation shocks in the markets.

For his part, financing and investment professor at Sadat Academy Mohamed Sameh said upping the interest rates came as a partial compensation for people over a drop in the value of the Egyptian pound.

Meanwhile, Ayman Warda, banking expert and head of the treasury sector in one of foreign banks, said the decision of liberalizing exchange rate is meant to put an end of black market where the dollar price reached 24 to 25 pounds and this is unacceptable.