PM: Govt Spares No Effort to Support Stock Market

Prime Minister Mostafa Madbouly affirmed that the government will spare no effort in taking all necessary measures to support the Egyptian Stock Exchange (EGX) to achieve the desired goals, especially with regard to raising society's awareness of investment and savings through stock exchanges.

Madbouly said that the stock exchange has recently adopted a new strategy to spread the financing and investment culture among the average citizen.

The Premier's statements came on Wednesday during the opening of today's trading session on the occasion of the announcement of the comprehensive structural strategy for small and medium enterprises (SMEs) and the launch of the 'Tamayoz' index.

The event was attended by five ministers in addition to the CEO of the General Authority for Investment and Free Zones (GAFI) Mohamed Badel Wahab and EGX Chairman Mohamed Farid Saleh.

He stressed that the stock market is one of the main sources of financing economic growth and helping economic entities to expand and create job opportunities.

He added that SMEs are at the top of the state's agenda, referring to a EGP 200 billion initiative launched by President Abdel Fattah El Sisi in 2016 for the banking sector to provide them with easy loans.

On his part, Farid said that the stock exchange worked during the past two years to develop SMEs market along with international partners and various players in the market.

He added that the restructuring plan launched today aims to urge companies listed on the stock exchange to sign contracts with sponsors for a period determined by the stock exchange to strengthen relations between investors and listed companies.

He added that more companies will be encouraged to register in the stock exchange through agreements with the Micro, Small and Medium Enterprises Development Agency (MSMEDA).

EGX will also work with the African Development Bank (AfDB) through the Ministry of International Cooperation to take advantage of a number of initiatives to support registered companies through advisory services or bonds issuance.