US sanctions Bank Misr branch in UAE over Iran ties; Egypt's central bank responds

Egypt's central bank has clarified that recent US measures targeting the UAE branch of Bank Misr are limited to the unit's US dollar transactions with correspondent banks, and do not extend to Bank Misr's operations in Egypt or any of its other overseas branches.

In a statement issued today in coordination with the Ministry of Foreign Affairs, the central bank said it is in contact with US authorities regarding the actions announced by the US Treasury Department, stressing that the impact remains confined to the specific banking unit in question.

The US Treasury Department had announced that Bank Misr's branch in the UAE is subject to American measures as part of broader economic restrictions on Iran, following bank transfers made for the benefit of Iranian banks.

The central bank emphasized that these measures do not affect any banks operating within Egypt's banking sector, including Bank Misr in Egypt, nor do they apply to any of Bank Misr's other foreign branches.

It further confirmed that the US actions do not impact Bank Misr's transactions inside Egypt, but are limited to the UAE unit's dealings with correspondent banks in US dollars.

The central bank reiterated the strength and resilience of all banks operating in Egypt, despite the US measures announced against Bank Misr's UAE unit.