DUBAI Oct 13 Egypt's stock market jumped in
early trade on Thursday after news that the central bank had
last month received a $2 billion deposit from Saudi Arabia that
could bring it closer to clinching a $12 billion International
Monetary Fund loan.
Egypt's index of the 30 most valuable companies
gained 2.8 percent in the first hour with Global Telecom
soaring 9.4 percent and investment bank EFG Hermes
jumping 4.4 percent.
The $2 billion deposit will boost the central bank's foreign
currency reserves, Egyptian state news agency MENA said late on
But the prime minister told Reuters on Thursday that the
deposit had already been received in September and included in
that month's foreign reserves total, which stood at $19.6
The news calmed investor fears that Saudi Arabia may be
abandoning its financial support of Egypt, sparked earlier this
week when a government official said Saudi Aramco had told the
Egyptian state oil company it was halting the supply of refined
oil products to the country. This caused the Egyptian pound to
tumble more than 10 percent against the U.S. dollar in the black
market to record lows in the past week.
The IMF has said Egypt needs to obtain bilateral aid from
other donors to finalise a $12 billion lending programme.
(Reporting by Celine Aswad; Editing by Andrew Torchia and