Executive Chairman of The Egyptian Exchange (EGX), Dr. Islam Azzam, delivered a comprehensive presentation on the market’s performance in 2025. He reviewed the most significant developments, key financial indicators, and overall trading activity.
The presentation was attended by Mr. Mohamed Sabri, Vice Chairman of The Egyptian Exchange, along with a number of advisors and top management of EGX. The event was also covered by a group of journalists and media professionals who followed the latest market updates.
The presentation highlighted the most notable achievements in the development of trading systems, the diverse investment instruments, support for listed companies, and the enhancement of governance and sustainability practices. It also outlined EGX’s future plans to expand its markets and deepen the Egyptian capital market at both the local and international levels.
He explained that EGX’s main index, EGX30, recorded an annual return of approximately 40.65% by year-end, continuing its upward trend since July 5th, 2022, and achieving a cumulative return of about 383.15% over this period. He added that this strong performance was accompanied by a significant increase in trading volumes and values, particularly during November and December, reflecting heightened market activity and growing investor confidence in the performance of listed companies.
The EGX Chairman pointed out that market indices recorded significant gains during 2025. EGX70 EWI, that includes several small and medium sized companies, achieved returns of 61.19%, while the EGX100 EWI index recorded returns of 55.34%.
At the sector level, the construction materials sector led market performance, topping the list with annual returns of 238.4%.
He emphasized that these positive results reflect the impact of the policies and procedures implemented to develop the market, enhance trading efficiency, and expand the investor base. This has been supported by the continued diversification of investment instruments and efforts to deepen the market, reinforcing its role in financing economic growth and achieving sustainable development.
Financial Indicators and Market Activity:
Market capitalization:
Increased to EGP 3 trillion, with a growth rate of 38.2% compared to year 2024, representing about 16.5% of GDP.
Sectoral Diversity:
EGX includes 18 sectors, at the top is the banking sector with 23.2% of the total market capitalization, followed by the basic resources sector with 13.6%.
Trading values:
Increased to EGP 1.25 trillion, compared to EGP 1.09 trillion year 2024, with an average daily trading volume of EGP 5.2 billion, compared to EGP 4.5 billion year 2024.
Transactions (Individuals Vs Institutions):
Individuals executed 68% of transactions, and 32% for institutions, with 2% increase in the role of institutions.
New Investors:
The number reached approximately 299.1 thousand investors, representing an increase of about 30% compared to 2024, with 79% belonging to the 18-45 age group.
Companies’ Performance:
EGX100 Index Stocks: Stock prices of companies listed on the EGX100 index witnessed a notable increase, with the average annual return reaching approximately 47.65%.
Valuation and Regional Comparison: Despite the growth in indices-EGX30 recording about 40% and EGX70 exceeding 61%-the price-to-earnings (P/E) multiple remains relatively low compared to regional stock exchanges, at less than 7 times, according to data from REFINITIV (a subsidiary of the London Stock Exchange Group, LSEG). This valuation makes Egyptian stocks particularly attractive for investment.
Global Perspective: It is noteworthy that the increase in the stocks of companies listed on the main EGX indices ranks among the highest worldwide, yet Egyptian stocks continue to offer significant investment opportunities.
Profitability Metrics: Companies in the EGX100 achieved an average net profit of approximately 24.94%, with an average return on equity (ROE) of 29.06%. Notably, 50% of these companies recorded ROE exceeding 40%, while 20% surpassed 43%.
Risk and Asset Efficiency: The average return on assets (ROA) was 12.05%, and 70% of the companies have a beta factor below 1, with an average beta of 0.84, indicating low systematic risk levels.
Listings:
7 new companies were listed, and 3 companies offered shares with total capital of EGP 2.28 billion. Meanwhile, EGX recorded the highest number of capital increases throughout five years, with the total amount of EGP 69.6 billion (+172% compared to year 2024).
Development of the market and governance:
Engaging with small and medium enterprises to set clear growth plans, and periodically reviewing their classifications across the different markets to ensure efficient and fair valuation.
Holding community dialogue and workshops to explain updates of listing and disclosure rules, besides training investor relations officers to use the disclosure website.
Developing the low-volatility index, EGX35-LV, which recorded annual return of 46.26, which means achieving high return with low risk, as the coefficient of variation is 2.91.
Technological and Trading Systems Development:
Improving the government debt instruments trading system, and the OPR system, to automatically accept large number of orders, increasing speed and accuracy of execution and enhancing liquidity.
Launching new Global Depository Receipts (GDRs) system, linking the Egyptian market to global markets to attract foreign investments.
International Presence and Training:
EGX participated in more than 50 international committees and global training programs. Effectively attended meetings and activities of World Federation of Exchanges (WFE), the Arab Federation of Capital Markets (AFCM), the Federation of Euro Asian Capital Markets (FEAS), as well as African Securities Exchanges Association (ASEA), being member of these federations, which reflects the active role supporting cooperation and expertise exchange between financial markets regionally and globally.
Sustainability and social responsibility:
Voluntary support of more than 200 companies to adopt environmental and social governance frameworks.
Future plans:
Developing the trading system in collaboration with NASDAQ to support the trading of all instruments and securities, as well as Market Maker activities.
Activating financial derivatives mechanisms and implementing short-selling (securities borrowing and lending) mechanisms.
Preparing to launch the Market Maker mechanism and link it to the Clearing and Settlement Company, contributing to deepening the market, enhancing its efficiency, and increasing its competitiveness.
