Egypt’s real estate sector market cap hits $4.8 billion – bourse chief

Egypt’s real estate sector has a market capitalisation of 80.2 billion Egyptian pounds ($4.8 billion), said Egyptian stock exchange head Mohamed Farid on Sunday.

There are currently 36 real estate companies listed on the Egyptian stock exchange with a return on equity of 18 percent, Farid said at the Builders of Egypt Forum, that took place in Cairo.

Egypt is looking to launch more Real Estate Investment Trusts (REITs) for they help lower investment entry cost, enjoy high flexibility, diversification, and value appreciation, as well as generate short-term income, Farid said.

There is just one REIT operating in Egypt, and that number needs to grow soon, he added.

REITs generate 6.5 percent of dividends yield in the Middle East region, Farid said.