CAIRO Oct 21 Egypt's bourse is studying an
alliance with the Istanbul Stock Exchange that would allow
investors in the two countries to trade on each other's markets.
"A delegation from the Istanbul Stock Exchange will visit
Egypt in December ... to discuss the means of joint trading
between the Egyptian bourse and the Istanbul bourse," Mohamed
Omran, the Egyptian exchange's chairman, told Reuters on Sunday.
Under the proposal, which follows a memorandum of
understanding signed by the two exchanges in June, Turkish
investors would be able to trade directly on the Egyptian bourse
through Turkish brokerages and vice versa.
Egyptian investors stung last year by the uprising that
overthrew President Hosni Mubarak have been trying to improve
their access to overseas markets.
In June, the industry regulator, the Egyptian Financial
Services Authority, told local brokerages and portfolio
management firms they could no longer trade foreign securities.
EFSA said at the time such trading exposed investors to
risks that authorities were unable to monitor. Traders said the
move may have been motivated by a desire to limit transfers of
hard currency abroad.
EFSA chairman Ashraf el-Sharkawy told Reuters a Turkish deal
would not require changes to the Capital Market Law.
(Reporting by Ehab Farouk; Writing by Shaimaa Fayed; Editing by
(firstname.lastname@example.org; +20 2 2578 3290; Reuters