Egyptian Companies’ Profits Surge as They Reap Benefits of Currency Float
- Earnings at record, estimates highest since 2016 devaluation
- Success sets example for currency-peg regimes, says Investec
This article is for subscribers only.
For any central bank balking at freeing up its currency for the fear of inflicting pain on the economy, the turnaround being enjoyed by companies in Egypt may provide comfort.
Three years after the north African nation let markets set the pound’s value, its companies are witnessing a rebound in profits. While earnings have surged to a record in dollar terms, estimates have returned to levels last seen before the float.