Egypt Bank Holiday: Why Are Banks Closed Today?

Egypt’s Central Bank Announces Temporary Bank Closure, Cuts Interest Rates

Egypt’s central Bank of Egypt has announced a temporary suspension of operations for all banks operating within the country, coinciding with the end of the fiscal year. The closure will begin today, Thursday, January 1, 2026, with services expected to resume on Sunday morning, January 4, 2026.

The decision comes alongside a critically important monetary policy adjustment, as the Central bank concluded its final meeting of 2025 with a 1% reduction in the interest rate. This brings the total interest rate reduction for the year to 7.25%.

Did you know? – Egypt’s fiscal year aligns with the calendar year, ending on December 31st.This closure is a routine procedure to reconcile accounts and prepare for the new fiscal cycle.

Banking Operations Temporarily Halted

According to a statement released by the Central Bank,the temporary closure is linked to the culmination of the fiscal year for Egyptian banks,which concluded on december 31,2025. “The suspension of work in all banks operating in Egypt today, Thursday, january 1, 2026, is a standard procedure at the end of the fiscal year,” a senior official stated.

The brief pause in banking services is not expected to disrupt long-term financial stability, with operations slated to fully resume on Sunday, January 4, 2026. Customers are advised to plan accordingly for any urgent financial transactions.

Pro tip – If you anticipate needing banking services during the closure, plan ahead.Withdraw cash or complete transactions before January 1st to avoid disruption.

Interest Rate Cuts Aim to Stimulate economy

The 1% interest rate reduction represents the latest move by the Central Bank to stimulate economic growth. The cumulative 7.25% reduction throughout 2025 is intended to lower the cost of borrowing for businesses and individuals.

“This reduction reduces the cost of financing from banks, and thus contributes to reducing the cost of goods and services,” the Central bank explained. Lower financing costs are anticipated to encourage investment,boost production,and ultimately alleviate inflationary pressures within the Egyptian economy.

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The Central Bank’s actions signal a proactive approach to managing economic conditions and fostering a more favorable environment for businesses and consumers alike. The combined effect of the bank closure and interest rate cuts will be closely monitored in the coming weeks to assess their impact on Egypt’s economic trajectory.

Reader question – How do you think these combined measures will affect small businesses in egypt? Share your thoughts in the comments below.