Egypt Debt Rally Missed by Outsiders Shows El-Sisi Challenge

For all of the gains in Egypt’s financial markets since President Abdel-Fattah El-Sisi took over this year, one trend exposes the fragility of the economy: Foreigners want no part of the country’s domestic debt.

Non-Egyptians have cut their holdings in the $67 billion Treasury-bill market to less than 0.2 percent from 21 percent in 2010, according to central bank data. Investors say yields are too low to compensate for the risks in an economy weakened by almost four years of political turmoil.