Morsi eyes economic recovery

Strict currency controls are in place for Egyptians Cairo - Arabstoday President Mohammed Morsi has signed into law Egypt's controversial new constitution and told the nation that its next task is to fix the economy. Egypt's pound has neared an all-time low, prompting a rush at the banks. In his latest televised address on Wednesday, Morsi said Egypt's economy faced "huge challenges" but had "great opportunities to grow." He said he was considering a cabinet reshuffle to as part of his plan to attract investors. His office had earlier announced that Morsi had formally signed into law the constitution, which the opposition has condemned as being too Islamist. The text got 64 percent approval in a two-stage referendum that drew only a third of all eligible voters. The opposition National Salvation Front coalition said it would launch a legal challenge over alleged voting irregularities.  In Cairo on Wednesday, residents expressed frustration about economic uncertainty as the Egyptian pound traded as low as 6.18 against the US dollar. That was near an all-time low set in 2004. A Cairo-based bank dealer quoted by Reuters said customers were "rushing to buy (US) dollars in the wake of Monday's downgrading of Egypt's long-term credit by the ratings agency Standard and Poors. "All customers are rushing to buy dollars after the downgrading," said the dealer. On Tuesday, Egyptian authorities tightened currency controls, banning people leaving or entering Egypt from carrying more than $10,000 (€7,600) in cash. Germany has called on President Morsi to work to unite the country following the ratification of the new constitution. "I call on President Morsi to approach all forces in society and to seek political compromises that involve all Egyptians," said Foreign Minister Guido Westerwelle, adding that that the process of political reform in Egypt was far from complete. Source: Deutsche Welle