Dr. Mohammad Omran, Chairman of EGX welcomed the latest decision of MSCI to keep EGX in its emerging markets index. He said that the decision is a positive turning point for the Egyptian market, which confirms the confidence of international institutions in EGX and in the investment climate in Egypt generally.
Omran says that MSCI's decision came after negotiations to ensure the positive investment environment in Egypt, specifically that there are no investment restrictions or obstacles on any foreign investor. He also stressed that the cooperation with the Central Bank of Egypt to cover the foreign investors' transfers ensuring the foreign investors' confidence in the freedom of the investment environment in Egypt.
Dr. Mohammed Omran expects that MSCI decision will positively reflect on the volume of the foreign investors in the Egyptian market. He added that MSCI index is one of the major indictors that investors depend on evaluate the markets. Moreover, he expresses his confidence that the coming period will be full of constructive development for the capital market in specific and the Egyptian economy in general as MSCI decision ensures the importance of EGX on the map of World exchanges.
MSCI had announced earlier in 2013 its intention to review positioning with the possibility of removing it from the emerging markets index because of the difficulties the foreign investors face in flow of transfer of foreign investments. After several months of negotiations, the latest positive situation in the monetary reserves, an increased confidence in the Egyptian economic environment let them change their intentions.
