CAIRO: The Egyptian Exchange (EGX) plunged further Monday on foreign institutions’ sell-offs, amid increasing speculations of further devaluation of the Egyptian pound in the coming days.
On Saturday, Egypt’s Banque Misr and the National Bank of Egypt, the largest state banks, announced the launch of savings certificates for Egyptian pounds with an interest rate of 12.5 percent to support the currency, raising anticipation of a central bank policy rate hike in December.
Moscow’s Friday decision to suspend Egypt-bound flights until an investigation into its deadly airliner crash in Egypt’s Sinai is completed, also weighed on Egypt’s market.
The benchmark index EGX30 dropped 2.84 percent to end at 7,139 points, down from points 7,347 on Sunday.
The small and mid-cap index EGX70 dipped 1.47 percent to close at 378 points, compared to 383.7 points in its last session.
Similarly, the broader index EGX100 inched down 1.42 percent to close at 818 points after 829.8 points on Sunday.
Market capitalization shed around 4.6 billion EGP ($572.8 million,) totaling 439.2 billion EGP, compared to 443.8 billion EGP in the previous session.