A government official told the “Stock Exchange” that the value of foreign investments in government debt instruments amounted to about $ 29 billion, which is more than the volume of their investments before the outbreak of the new Corona virus pandemic in the first quarter of the last fiscal year.
The official added that foreign investors and investment funds add to their investments in government debt more than one billion dollars a month.
He pointed out that the portfolio of investors in treasury bills and bonds is diversified in the current period, as it includes foreign sovereign funds, as well as large Arab financial institutions.
He pointed out that interest rates represent an attractive force for foreign investors, in addition to the stability of interest rates in addition to the exchange rates, which enables them to achieve profit at satisfactory rates compared to fluctuations in other emerging markets due to Corona.
Egypt enjoys one of the highest real interest rates in the world, with inflation falling to its lowest rates in years, and the central bank stabilizing interest rates for months.
The official explained that foreigners exited the government debt market at large rates at the beginning of the pandemic in March of last year, with financial gains, which encouraged them to return again after the relative stability of the Coronavirus epidemic situation during the first quarter of the current fiscal year, and their subscription values increased during that period. With their continued injection of financial liquidity during the month of last December without exiting with profit-taking results for the European markets.
During the months of the pandemic, about $ 18 billion of foreign investment exited from the government debt market, dropping its level to about $ 10 billion, down from its peak recorded in February of last year, amounting to $ 27.8 billion, before recovering again, starting last summer.
The article is responsible: Foreign investments in government debt instruments amounted to 29 billion dollars, it was written in Al-Borsa newspaper.