The Egyptian Exchange held a meeting with Egypt Post on Saturday with the aim of increasing opportunities for cooperation.
The meeting dealt with presenting the work plan and strategy of Egypt Post and its subsidiaries, discussing its investment opportunities in the stock market and how to increase and benefit from them, in addition to the possibility of promoting investment funds through post offices throughout the republic.
During the meeting, Rami El-Dokany — Chairperson of the Board of Directors of the Egyptian Exchange (EGX) — reviewed the latest developments in the stock market, pointing out the role played by the market as a platform that helps economic entities operating in various sectors to access the financing necessary for growth and expansion, attract more foreign investments, and maximise domestic private investment that would drive growth rates in a way that supports economic and social development plans.
He also stressed the importance of the role of government investment in supporting the levels of liquidity in the market, increase the levels of institutional investment and attract foreign investors, as well as to achieve the maximum possible benefit from the current price levels of the listed shares, as the rate of return on the coupon is the highest among Arab stock exchanges.
El-Dokany added that despite the current low levels of liquidity in the market, the EGX is characterised by diversity and activity among other markets, noting that the turnover rate of shares in the exchange is the highest among Arab stock exchanges during the current year.
In a related context, the chairperson indicated that the government offering programme represents a basic pillar for revitalising the stock exchange, stressing that the current period requires work to restore the confidence of the foreign investor to return to the stock exchange, in addition to restoring the confidence of the local investor and working to increase the values and volumes of transactions in the stock exchange, while activating the role of the capital market.
He also stressed the EGX’s full coordination with the Financial Regulatory Authority (FRA) to overcome obstacles that would negatively affect the stock market or the economy in general.
For his part, Sherif Farouk — Chairperson of the Board of Directors of the National Post Authority — stressed Egypt Post’s keenness to open up prospects for cooperation with all state institutions in a way that allows maximising its investments and achieving maximum benefit from them, explaining that this meeting aims to discuss opportunities for cooperation between both entities.
Farouk also pointed out the need to enhance the role of fintech in attracting new categories of investors with the continuation of financial education mechanisms and the creation of new tools that would allow small investors to invest, as well as work to increase the levels of financial culture among citizens and make them aware of how to trade and invest in the stock market through various media channels.
Additionally, he called on the leaders of Egypt Post to discuss how to take advantage of the stock market as a platform that helps them provide financing for the companies affiliated with Egypt Post through listing and offering.
Moreover, he directed the continuation of consultation and holding meetings between the work teams from both sides to take what is appropriate for both parties during the coming period.
He also called for implementing programmes to raise the levels of awareness and knowledge of savers through Egypt Post’s offices and to familiarise citizens with the basics of long-term cumulative investment and savings through the stock market, in addition to organising workshops and training courses.
