Amwal Al Ghad English - 2013-05-08 08:04:29
On Tuesday, Egypt’s benchmark stock index surged the most in two months on investor bets a Cabinet change will boost the nation’s prospects of finalizing a loan agreement with the International Monetary Fund.
Commercial International Bank Egypt SAE (COMI.CA), the country’s biggest publicly traded lender, gained the most in almost five months. Telecom Egypt Co. (ETEL.CA), the monopoly fixed-line phone company, advanced 3.1 percent. The EGX 30 Index increased 1.8 percent, the most since March 7, to 5,372.63 at the close in Cairo. The markets regulator said on Tuesday it will allow investors to sell shares bought in the same session after a two-year halt.
Nine new Cabinet members, including the finance and planning ministers, were sworn in by President Mohamed Morsi today after he pledged changes last month. The North African nation has struggled for two years to obtain a $4.8 billion IMF loan amid violent protests and government instability in the fallout of the revolt that toppled Hosni Mubarak in 2011.
“Market sentiment has improved after the cabinet reshuffle, especially with the replacement of the finance minister,” Mohamed Radwan, head of equities at Cairo-based Pharos Holding for Financial Investments, said by phone. “There are hopes this government will do a better job of securing an IMF deal.” More»