Dr. Mostafa Madbouly, Prime Minister, met this evening with Ahmed El-Sheikh, Chairman of The Egyptian Exchange (EGX), to discuss ongoing efforts to develop the stock market.
At the outset of the meeting, the Prime Minister emphasized that enhancing EGX performance is part of a broader set of measures undertaken by the state as part of its strategy to make Egypt’s investment environment more attractive to both local and foreign investors.
Ahmed El-Sheikh, for his part stated that since September 2023, EGX has been undergoing a comprehensive development process through the implementation of an integrated strategy aimed at enhancing the stock market, supported by an effective community engagement dialogue.
In this context, EGX Chairman highlighted that in January 2024, EGX Board introduced its Development strategy, which introduced key objectives to improve market efficiency. This strategy focuses on coordination and integration with market participants and relevant entities. He noted that several objectives of this strategy have already been achieved, while efforts continue to fulfill the remaining targets.
During the meeting, Ahmed El-Sheikh presented the performance of EGX in 2024, pointing out that last year witnessed significant breakthroughs and record-high figures in market performance, including key index values, trading volumes, transaction values, and market capitalization. He stated that the market indices closed 2024 with significant gains, accompanied by increases in trading volumes, market capitalization, transactions, and the number of investors.
El-Sheikh also noted that EGX has continued to modernize its operational mechanisms, recently acquiring one of the world’s top trading systems. This integrated system enables trading across various financial instruments, including derivatives and carbon credits. Additionally, internal systems and work processes at EGX have been significantly upgraded.
EGX Chairman emphasized that 2024 was a year of remarkable achievements, as the Egyptian stock market witnessed qualitative developments in trading mechanisms, diversification of financial instruments, improved transparency, strengthened governance, and enhanced disclosure standards aligned with international best practices. He highlighted the ongoing efforts to further develop the Egyptian stock market in the period ahead.
El-Sheikh affirmed that these achievements reflect EGX’s strong adaptability to global market developments, enabling it to accommodate new listings and increased trading volumes, thereby fostering broader opportunities for growth and expansion.
He further emphasized that attracting large-scale new listings, particularly government offerings, remains a top priority for the stock market due to their substantial positive impact on market activity, trading volumes, market capitalization, and Egypt’s ranking within international financial indices. These efforts are being closely coordinated with relevant authorities.
During the meeting, El-Sheikh also discussed EGX’s future plans, reiterating the commitment to achieving the strategic targets, particularly the full implementation of the new trading system, the development of operational regulations in response to market needs, and the introduction of new investment instruments to enhance market liquidity.
He added that EGX is currently studying the launch of a Treasury Bills index, in response to the growing interest of investors in this asset class. Additionally, plans are underway to introduce a new index that combines both Sharia-compliant and sustainability criteria.
The meeting also covered discussions on a package of investment incentives aimed at encouraging new listings and public offerings on EGX.
