Egyptian stocks jump 3.9% higher on Saudi IMF-deal boost deposit

Egypt’s stock market climbed Thursday powered by the news of receiving a $2 billion deposit from Saudi Arabia bringing it closer to securing the International Monetary Fund $12 billion loan.

Main index, EGX30 jumped 3.90 percent, to 8505.12 points in its heaviest trade since early August.

Egyptian Prime Minister told Reuters earlier the day that the country received a $2 billion central bank deposit from Saudi Arabia during September. The Saudi deposit has been accounted for in that month’s foreign reserves total, which stood at $19.6 billion, the prime minister added.

The deposit also eased fears that Saudi Arabia might be withdrawing its financial support of Egypt. Those fears were fanned earlier this week when a government official said Saudi Aramco had told the Egyptian state oil company that it was halting the supply of refined oil products to the country.

Other indices; EGX50 EWI index climbed 2.42 percent, to 1336.56 points; EGX20 soared 4.43 percent, to 8447.76 points.

Mid- and small-cap index EGX70 grew 0.82 percent, to 345.91 points. Price index, EGX100 added 1.60 percent, to 803.38 points.

Market Cap

Market capitalisation posted gains worth 11.1 billion Egyptian pounds ($1.25 billion), to record 420.509 billion pounds during the closing session of Thursday.

Turnovers grow higher

The bourse’s trading volume reached 321.838 million securities, with turnovers, closing at 1.184 billion pounds, exchanged through 27.282 transactions.

Also during the closing session, 176 listed securities have been traded in, 30 declined, 118 advanced; while 28 kept their previous levels.

Investors’ Activities

Non-Arab foreign investors were net buyers capturing 21.19 percent of the total market, with a net equity of 61.495 million pounds, excluding the deals.

On the contrary, local and Arab investors were net sellers controlling 70.8 and 8.01 percent respectively of the total markets, with a net equity of 3.040 million pounds and 58.454 million pounds, respectively, excluding the deals.