The head of Al-Awael Financial Consulting Company, Wael Enaba, said that foreign holdings in the Egyptian market have become very weak due to exits in recent years and not just in recent months.
Enabh explained, in an interview with Al-Arabiya, who despite the exit of foreigners from the stock market, they do not leave the Egyptian market, but invest in local debt instruments.
He pointed out that the possession of Egyptian debt instruments by foreigners is in increase, so the influence of foreigners in the last period is weak on the stock market, as well as its impact on the exchange rate is completely non-existent because they do not transfer their money abroad.
He pointed out that the real estate sector in the last month of last year witnessed the completion of the SODIC transaction, explaining that as a result of the transaction £ 6 billion entered the market, much of which was put back into the real estate sector.
Enaba believes that the Egyptian Stock Exchange index did not register a 10% increase until the last two months of the year, due to the growth of the real estate sector.
He expected that the sector that will see strong offers, such as the banking sector, which could see the possible offer of Banque du Caire, would dominate. The real estate sector, on the other hand, will continue to be positively affected by the ample liquidity entered into the sector and by sufficient exchanges for several months.
He pointed out that the government announcement of the Heliopolis Company for Housing and Development during the first half of 2022 could also have an impact on the real estate sector.
On the application of the capital gains tax, Enaba said that its impact was priced on the market as problems and stock prices, explaining that for 7 years it has been in a state of controversy due to the tax to modify or cancel it.
He said the changes approved by the Cabinet in the final month of 2021 included a change to the tax payment mechanism for the Misr Clearing Company.
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