FTSE Russell officially announced yesterday Tuesday evening the removal of Egypt and the Egyptian Financial market from watch list, after meeting the international necessary standards and requirements.
This development reflects ability of the Egyptian market to meet the international requirements, as well as its ability to surpass the minimum criteria, supported by strong and growing base of listed companies capable of meeting the international standards and competing at the regional and international levels.
Mr. Omar Radwan, EGX Executive Chairman, emphasized that removal of the Egyptian market from watch list adds a new trust certificate highlighting resilience of the market and its ability to handle challenges and global pressure and changes. He pointed out that strength of the financial market is not just measured by its performance under normal conditions, but also by its efficiency, attractiveness, and ability to recover and adapt during challenging times.
EGX Executive Chairman said that during the past years, the Egyptian market faced a group of challenges and changes. These developments practically created a real test of the market’s resilience and its ability to handle pressures.
Mr. Omar Radwan added that the challenges confronted by the Egyptian market can be seen as a real simulation experience for dealing with difficulties, which showed ability of the market to adapt and handle changes. This is an important factor in the international investors’ assessment of the market’s attractiveness and its ability to deal with shocks, and how the market and listed companies deal with pressure and their ability to continue, adapt, and grow.
Mr. Omar Radwan emphasized that Egypt has a strong diversified base of listed companies that include firms of different sizes, sectors and business models. Many of these companies succeeded to meet the international standards and exceeded them. These companies don’t necessarily need to build their capabilities, but just need to be more visible and transparent for international investors, highlighting the opportunities they offer.
In this context, the success of three major Egyptian companies in meeting the requirements of medium capital is an important development, reflecting the growing depth of the market and strength of the listed companies. As Talaat Mostafa Group TMG joined the list, followed by Telecom Egypt WE, in addition to Commercial International Bank CIB, which enhances presence of the Egyptian companies on the index of emerging markets and broadens the base of potential investors.
EGX Executive Chairman emphasized that the goal is not just increasing the number of companies that meet the international standards, but also building a market owning expanded base of companies capable of meeting these standards, enhancing their competitiveness ability and accessing global capital.
Mr. Omar Radwan clarified that removal of the Egyptian market from watch list is an important step in the path of developing the Egyptian financial market, but it is not the final point. He emphasized continuing efforts to deepen the market, enhance its competitiveness, expand investors’ base, and increase the international visibility of the listed Egyptian companies. In addition to developing financial products and services as a well as technological infrastructure and trading and disclosure mechanisms.
EGX Executive Chairman concluded by saying that “what has been achieved today proves strength of the foundation on which the Egyptian financial market stands. The market faced real challenges and handled them, proving its ability to endure and adapt. Today we focus on turning this resilience into opportunities and transforming the strength of our listed companies into greater visibility and international investment. What has been accomplished till now is just the beginning of what will come.”
