US Sanctions on Banque Misr's UAE Branch Under Economic Outcast

The US Treasury Department has imposed sanctions on Banque Misr's UAE branch under Operation Economic Outcast, revoking its correspondent banking access to US financial institutions. The decision aims to prevent funds from reaching individuals or entities subject to US sanctions.

Egyptian banking sources downplayed the impact of the sanctions, stating that they are limited to certain transactions of the UAE branch and do not affect Banque Misr's operations within Egypt or its other international branches.

Economic expert Abdel Nabi Abdel Muttalib emphasized that the measure targets the 'correspondent' service provided by US companies or banks to Banque Misr, particularly in countries where the bank does not have direct access to the banking system. He noted that dollar transfers cannot be completely halted, as some transactions are carried out in various other currencies but delivered in US dollars.