transferring Egyptian pounds into sterling
Discussion
Any advice on brokers or banks in the UK that deal with exchanging Egyptian pounds into sterling .................selling a property in Egypt roughly £500k or $650k
which is approximately 20 million Egyptian pounds , Majority of potential buyers ( Egyptian ) want to purchase in EGP , cant find any major firms who deal
with this amount in an exchange
prefer to sell in Sterling for obvious reasons , is there an issue with Egyptians exchanging Egyptian pounds into sterling or is it just the exchange rate ,
thanks in advance
.HSBC wouldn't deal in them for us (company I work for) and it was a very protracted process to even get USD out of the country in the end.
I just don't think anyone wants EGP, so there is a risk to anyone taking yours that they won't have a willing buyer of it, Egypt has as you know had a significant currency devaluation in recent times to the point that even most resident Egyptians don't even want their own currency.
Not sure how viable it is for an individual but one idea that was being discussed was finding two trades one of an import to Egypt and one of an export and then of the 4 sides/people/companies involved the 2 resident in each country pay each other to settle the amounts due without a need for currency conversion. If it's even viable for you there will obviously be a chunky fee associated with this.
I just don't think anyone wants EGP, so there is a risk to anyone taking yours that they won't have a willing buyer of it, Egypt has as you know had a significant currency devaluation in recent times to the point that even most resident Egyptians don't even want their own currency.
Not sure how viable it is for an individual but one idea that was being discussed was finding two trades one of an import to Egypt and one of an export and then of the 4 sides/people/companies involved the 2 resident in each country pay each other to settle the amounts due without a need for currency conversion. If it's even viable for you there will obviously be a chunky fee associated with this.
I'd have thought most egyptians at that price level would have access to foreign currency.
Wife's uncle have a 4 bed villa in El Gouna overlooking the airport. He sold it probably 10yrs back. I'm sure he got paid in hard currency by an Egyptian. Just looking at prices they have really ramped up. I think he paid around 120k for his & sold for about 150k.
Wife's uncle have a 4 bed villa in El Gouna overlooking the airport. He sold it probably 10yrs back. I'm sure he got paid in hard currency by an Egyptian. Just looking at prices they have really ramped up. I think he paid around 120k for his & sold for about 150k.
GT03ROB said:
I'd have thought most egyptians at that price level would have access to foreign currency.
Wife's uncle have a 4 bed villa in El Gouna overlooking the airport. He sold it probably 10yrs back. I'm sure he got paid in hard currency by an Egyptian. Just looking at prices they have really ramped up. I think he paid around 120k for his & sold for about 150k.
Yes bought in 2008 for around £300k , valued last year at $750k , dropped price to $675 or £500k sterling . most people have offered EGP which we wouldn't be able to get out of the country Wife's uncle have a 4 bed villa in El Gouna overlooking the airport. He sold it probably 10yrs back. I'm sure he got paid in hard currency by an Egyptian. Just looking at prices they have really ramped up. I think he paid around 120k for his & sold for about 150k.
guess need to get a foreign buyer to pay in sterling
update
so there is no way to transfer Egyptian pounds into sterling ..... unless you want to wait at 10k a month !
So will only accept Euros , Sterling or US dollars , prefer to take UK sterling obviously , just had the strangest conversation with a broker who found a client whoes interested in buying our villa , conversation went
Can your client pay in sterling ?
Yes .... hes very serious but wants to know your final price
This is a chap who is living in the US , so i said i want to see $ 650,000 or if its sterling I could agree £520,000 plus agents commission
So agent got the buyer to call me ........... after a few moments of pleasantries the plot unfolded
Me :I understand you can purchase in UK sterling ?
buyer : errr .........Sterling , I have a US bank account in the US and Egyptian bank account in Egypt ..
Me So can you transfer from your US bank in sterling in which case I can lower the price accordingly
buyer im a cash buyer
Me: thats fine so when do you want to arrange to view the property , I would also need you to send a deposit to my bank account
buyer i can give you cash when we meet in Egypt !
Me ....Cash ?
Yes i can arrange the cash
Me ... hold on your a cash buyer .......... but i will need a bank transfer , i cant accept that amount of cash ?
Buyer but I have the cash
Me , Im afraid there is a problem with this , there is no way i can accept $600,000 in us dollars in cash in Egypt ? It must be a bank transfer from your bank to mine ,.,,, or its called Money laundering "
Seriously , are these people for real
ATG said:
Neither HSBC nor Barclays' local operations in Egypt can help?
the new law from an Egyptian bank you can only transfer a maximum of $ !0,000 per month out of the country so it would take 5 1/2 years to transfer out the full amount. Hence looking at US/ European/ overseas market
ATG said:
Neither HSBC nor Barclays' local operations in Egypt can help?
Can't speak for Barclays but HSBC won't want to know. The compnay I work for had a hellish time getting a Dollar payment from a huge company over there, problems with the central bank intervention, very few large USD payment leaving the country, it's like they won't allow it. Our funds were only received via a convoluted route through other countries and subsidiaries (fortunately for us they had a global presence.This shows that in a place where the currency has devalued and is likely to continue to do so, that effectively no one wants it, they want USD or houses etc not Egyptian pounds.
Interesting. The wonders of capital controls. Doesn't have any unintended consequences at all, apart from encouraging any Egyptian individual or entity that has a source of foreign currency to make sure it never enters the country in the first place and encouraging them to offshore any domestically held USD as quickly as they can by whatever method they can find, legal or illegal. It doesn't encourage corruption either.
A relative who used to live in South America but work overseas would re-enter the country with wodges of US dollar bills in his socks, pants, arm pit, etc, etc and then as needed use the black market to convert to the local currency as the government mandated official exchange rate was entirely divorced from reality. Does wonders for your banking system and foreign currency reserves.
A relative who used to live in South America but work overseas would re-enter the country with wodges of US dollar bills in his socks, pants, arm pit, etc, etc and then as needed use the black market to convert to the local currency as the government mandated official exchange rate was entirely divorced from reality. Does wonders for your banking system and foreign currency reserves.
ATG said:
Interesting. The wonders of capital controls. Doesn't have any unintended consequences at all, apart from encouraging any Egyptian individual or entity that has a source of foreign currency to make sure it never enters the country in the first place and encouraging them to offshore any domestically held USD as quickly as they can by whatever method they can find, legal or illegal. It doesn't encourage corruption either.
A relative who used to live in South America but work overseas would re-enter the country with wodges of US dollar bills in his socks, pants, arm pit, etc, etc and then as needed use the black market to convert to the local currency as the government mandated official exchange rate was entirely divorced from reality. Does wonders for your banking system and foreign currency reserves.
The conversation was ridiculous he said "well my parents have $350k cash " ............presumbly hidden under the bed , and ill raise the other $300k A relative who used to live in South America but work overseas would re-enter the country with wodges of US dollar bills in his socks, pants, arm pit, etc, etc and then as needed use the black market to convert to the local currency as the government mandated official exchange rate was entirely divorced from reality. Does wonders for your banking system and foreign currency reserves.
he was genuinely taken a back when i declined ......... then he started well there's agents that could convert for you and send to your bank !!
As though it was suddenly going to be my problem , it had gone midnight
So i simply said get the $650k to your bank in the US once its there let me know , and we can start the process .............. Now if i get a broker if their client hasn't got the money outside Egypt .........Forget it
Purosangue said:
ATG said:
Neither HSBC nor Barclays' local operations in Egypt can help?
the new law from an Egyptian bank you can only transfer a maximum of $ !0,000 per month out of the country so it would take 5 1/2 years to transfer out the full amount. Hence looking at US/ European/ overseas market
Just pondering if gathering a few mates/family members would work?
ferret50 said:
Purosangue said:
ATG said:
Neither HSBC nor Barclays' local operations in Egypt can help?
the new law from an Egyptian bank you can only transfer a maximum of $ !0,000 per month out of the country so it would take 5 1/2 years to transfer out the full amount. Hence looking at US/ European/ overseas market
Just pondering if gathering a few mates/family members would work?
Portia5 said:
Have you thought about using the Hawala system?
Or, dare I say it, bitcoin?
i know absolutely nothing about these currencies , really just trying to keep it simple , ideally sterling but can exchange dollars / euros Or, dare I say it, bitcoin?
Edited by Portia5 on Wednesday 27th September 17:49
it definitely wont be EGP though
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