Egypt Splits Investors Over Default Risk After Devaluations
- Investors try to navigate challenges after three devaluations
- Egypt’s bond spread higher than similarly rated Turkey, Angola
Residential and commercial buildings on the city skyline in Cairo, Egypt.
Photographer: Islam Safwat/BloombergThis article is for subscribers only.
The market is in disarray in navigating what’s become a once-a-decade crisis in the Arab world’s most populous country.
JPMorgan Chase & Co. is taking three to six months to assess Egypt’s eligibility for its bond index after last week’s decision to place the country on negative watch as a result of the hurdles reported by sellers of government securities in repatriating foreign currency. A month earlier, Moody’s Investors Service said it was extending a review for downgrade of Egypt’s rating.