As President Sisi approved the state’s revised budget for 2014/2015, Egypt’s stocks opened higher on Monday with gains amounting to 2.6 billion Egyptian pounds. Backed by local and Arab investors’ buying appetite, the main stock index, EGX30 also surged approaching 8150 points at early trade.
Egypt’s President Abdel Fattah al-Sisi approved on Sunday a revised and tightened budget for the 2014/15 fiscal year, marking the first step towards a period of economic austerity.
The budget deficit of 240 billion Egyptian pounds ($33.57 billion) will be 10% of gross domestic product (GDP), compared to an expected 12% shortfall for the 2013/14 fiscal year ending on Monday.
Meanwhile, the EGX indices were wavering in green notes during the opening session of Monday.
EGX is operating with shortened trading hours during the Islamic fasting month of Ramadan.
The exchange will be opened from 10:00 to 13:30 Cairo time during Ramadan.
The Benchmark EGX30 hiked by 0.97% to 8149.37 p, and EGX20 inched up by 0.94% to 9846.53 p.
In addition, the mid- and small-cap index, the EGX70 increased by 0.65% to 589.23 p. Price index EGX100 also grew by 0.72% to 1033.19 p.
Furthermore, market capitalization reached EGP 476.050 billion, according to data compiled by Amwal Al Ghad English at 11:12 a.m. Cairo time (09:12 GMT).
Trading Volumes & Values
The trading volume has recorded 88.619 million securities worth EGP 1.484 billion, exchanged through 3863 transactions during Monday opening.
Also during the opening session, 104 listed securities have been traded in; 9 fell, 71 advanced; while 24 keeping their previous levels.
Egyptian investors and Arab investors were net buyers at early trade on Monday capturing 11.85% and 0.32% respectively of the total markets, with a net equity of EGP 6.481 million and EGP 2.016 million, excluding the deals.
On the other hand, the non-Arab foreign investors were net sellers seizing 87.83% of the total market, with a net equity of EGP 8.498 million, excluding the deals.