Cairo – Mubasher: The announcement by the Egyptian State and Talaat Moustafa Group Holding regarding the strategic partnership to develop 4 major projects with massive targeted investments amounting to EGP 11 trillion (approximately $202 billion),
The partnership announced by Talaat Moustafa Group in cooperation with the government represents an exceptional turning point in the country's urban and economic development map, as the deal represents a reformulation of the public-private partnership in Egypt.
The performance of the Egyptian Exchange (EGX) today is considered the best reflection of the importance of this partnership, as the group's stock captured about 12% of the exchange's trading in late trading today to lead the main index to rise despite geopolitical tensions.
Stock Performance Today
For his part, Mohamed Gaballah, a board member of Rooya Online Company, capital markets expert Mohamed Gaballah reviewed that Talaat Moustafa's stock is one of the major leading companies in Egypt and has a special status in the EGX30 index.
He stated that the stock managed at the beginning of today's trading to record the level of EGP 93 before witnessing some temporary profit-taking operations, pointing out that the stock targets the level of EGP 106 in the short term, while targeting a level reaching EGP 225 in the medium term.
By 1:05 PM Cairo time, the company's stock rose 6.1% at the level of EGP 89.97, while the stock recorded its highest price today at EGP 93.
The company's stock attracted about EGP 791.9 million through 8.7 million shares via 12.57 thousand transactions.
Supporting the National Output
From an economic perspective, Hanan Ramsis, a capital markets and economy expert, believes that this partnership adds a large amount to the national output as it delivers about EGP 2 trillion to the state, which revives the state's public treasury and reduces the deficit.
Ramsis said that the project can reduce reliance on external loans through what it provides of cash cover, and also paves the way for real estate exportation and enhances the sector's recovery in light of the hurdles it is witnessing in the current period.
At the capital market level, she pointed out that the group's entry into the limited-income housing activity enhances the weight of the stock within the main index of the exchange, making the exchange a "mirror of the economy".
Partnership Details
Prime Minister Mostafa Madbouly announced yesterday during the "Egypt 2026 Forum" the launch of 4 major developmental and urban projects in cooperation with the private sector and Talaat Moustafa Group as a strategic partner, in implementation of the State Ownership Policy Document.
The projects include residential, commercial, administrative, industrial, logistical, and touristic activities, aiming to boost investment, production, and exports, and stimulate tourism.
The projects are established on a total area of 37 million square meters and aim to establish integrated urban communities and smart infrastructure, supporting population expansion and creating an attractive investment environment.
The total investments of the projects are estimated at EGP 11 trillion, and they are expected to achieve tax revenues for the state treasury estimated at about EGP 2 trillion, in addition to providing about 6 million direct and indirect job opportunities.
