Egypt Construction Market Report 1Q 2024
Economic overview
Dashboard
Figure 01
Quarterly values are average values of parameters over each quarter.
Data obtained from www.tradingeconomics.com, www.cbe.org.eg, www.egx.com.eg and www.investing.com
EGP to USD
During 1Q 2024, the average value of USD against EGP increased, recording an average of EGP 42 due to the devaluation that took place during March 2024. Expectations are that the USD exchange rate will decrease slightly against the EGP in the next quarter.
EGP to EUR
During 1Q 2024, the Euro exchange increased against the Egyptian pound, recording an average of EGP 38.2 due to the EGP devaluation. The value of the Euro exchange rate is expected to decrease slightly against the EGP in the next quarter.
EGP to GBP
During 1Q 2024, the GBP exchange rate increased against the Egyptian pound, recording an average of EGP 38.2 due to the EGP devaluation. Forecasts suggest that the value of the GBP exchange rate will slightly decrease against the EGP in the next quarter.
Egyptian stock market
Data obtained from www.investing.com
The EGX 30, the Egyptian stock market indicator, measures the performance of the top 30 traded companies on the Egyptian stock exchange. During 1Q 2024, the EGX30 indicator increased, recording an average of 29,042.31 points compared to 24,039.58 points in 4Q 2023.
Central bank interest rates
Consumer price index (CPI)
The Central Bank of Egypt (CBE) makes decisions regarding interest rate values. The official interest rate is the overnight deposit rate. During 1Q 2024, the interest rate increased compared to 4Q 2023, reaching 27.25%. However, it is expected to remain stable during the next quarter.
The Consumer Price Index (CPI) measures the increase in prices consumers pay for everyday goods and services. During 4Q 2023, CPI increased to an average of 186 points compared to 179 index points in the previous quarter. Forecasts indicate a further rise in the index in the next quarter.
Foreign exchange reserves
The CBE reports Foreign Exchange Reserves in Egypt, these are the foreign assets held or controlled by it. The reserves are generally used to finance the balance of payments and to control exchange rates. During 1Q 2024, Egypt's foreign exchange reserves slightly increased, recording an average of USD 35.28 billion. Foreign Exchange Reserves are expected to gradually increase in the next quarter.
The March value is estimated since it was not issued at the date of publishing the report.
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