EGX responds positively to amendments on the stamp tax law

CAIRO – 9 May 2019: The Egyptian Exchange (EGX) responded positively to the amendments on the stamp tax law approved by the Cabinet, ending Thursday session in green and adding LE 2.9 billion to market capitalization, amid foreign purchases.

The cabinet approved a bill to amend some provisions of the Stamp Tax Law No. 111/1980, in a step to back the Egyptian Exchange (EGX), according to an official press release on Thursday.

The amendment stipulates imposing the same proportional stamp duty on the purchase or sale of all securities whether Egyptian or foreign, listed or unlisted without deducting any costs which represent 1.50 per thousand to be borne by both buyer and seller until 16 May, 2020.

The benchmark EGX30 rose 0.24 percent, or 33.19 points, to close at 14,060 points.

The equally weighted index EGX50 inched up 0.09 percent, or 2 points, to reach 2,116.52 points.

The small and mid-cap index EGX70 hiked 0.26 percent, or 1.62 points, to close at 620.82 points, and the broader index EGX100 increased 0.28 percent, or 4.42 point, to 1,579.78 points.

Market capitalization gained LE 2.9 billion, recording LE 765.99 billion, compared to LE 763.06 billion in Wednesday's session.

The trading volume reached 446.74 million shares, traded through 15,875 transactions, with a turnover of LE 446.74 million.

Foreign investors were net buyers at LE 16.33 million, while Egyptian and Arab investors were net sellers at LE 15.1 million, and LE 1.23 million, respectively.

Egyptian, Arab and foreign individuals were net sellers at LE 32.89 million, LE 6.11 million and LE 71,407, respectively.

Egyptian, Arab and foreign organizations bought at LE 17.79 million, LE 4.88 million and LE 16.41 million, respectively.

Egyptian Satellites (NileSat), MM Group For Industry And International Trade, and Cairo For Investment And Real Estate Development were top gainers of the session by 8.74 percent, 6.67 percent and 6.52 percent, respectively.

Meanwhile, Cairo Pharmaceuticals, Lecico Egypt, and Nozha International Hospital were top losers of the session by 9.98 percent, 9.56 percent, and 8.66 percent, respectively.

On Wednesday, EGX ended trading in red, as EGX30 dropped 2.52 percent, EGX50 declined 4.01 percent, EGX70 lessened 2.22 percent, and EGX100 decreased 2.35 percent.