Egypt is expected to enter the index with 14 bonds, an estimated weight of 1.8%, valued at $26 billion, slightly higher than the estimated $24 billion announced back in October
Egypt closes the first month of 2022 by officially rejoining JPMorgan’s Emerging Markets Bond Index (EMBI) today, with expectations that it will attract a slew of new investments into EGP-denominated debt.
With its rejoining, Egypt will become the second country in the Middle East and Africa to be listed on the index, Minister of Finance Mohamed Maait revealed during an interview on Sunday.
Egypt is expected to enter the index with 14 bonds, an estimated weight of 1.8%, valued at $26 billion, slightly higher than the estimated $24 billion announced back in October.
According to Maait, Egypt will also become a constituent of JPMorgan’s green bond index with a weighting of 1.2%.
With its return to the index, Egypt expects an increase in major investment funding and becoming more attractive for foreign investors to invest in Egyptian debt instruments in the local currency.
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Egypt’s return to the index could inject a total of $1 billion in new investments into government debt instruments, including treasury bills and bonds, Maait explained back in October.
Egypt has been working on returning to the EMBI for the past 3 years after its removal in 2011.
