Supervisory Body

Egyptian Financial Supervisory Authority (EFSA)

Name of Clearing & Settlement Organization

Misr for Central Clearing, Depository and Registry (MCDR)

Settlement Cycle

Settlement is as follows :

T+0 for the securities eligible for Intra-day trading (Real Time Gross Settlement)

T+1 for Treasury bonds traded according to the Primary Dealers system

T+2 for all other securities

Name of Central Securities Depository

Misr for Central Clearing, Depository and Registry (MCDR)

Commissions on Transactions levied by Exchange

Exchange Trading Fees

In terms of listed securities: the Exchange service fees are levied at 0.012 per thousand of the value of each side of the transaction with a maximum amount of LE 5,000.

As for unlisted securities or Over the Counter market: the Exchange service fees are levied at 1 per thousand of the value of each side of the transaction, with a maximum amount of LE 5,000.

As for Global Depository Receipts transactions: the Exchange service fees are levied at 0.00025% of the value of either issuance or cancellation of GDRs. Tha amount is paid un US dollars.

Clearing Commissions

Clearing fees charged by MCDR

The fees amount to 0.125 per thousand of the transaction value.

Taxes on Dividends, Interests

No taxes are levied on dividends, capital gain and interest on bonds for individuals, mutual funds and international funds.     

2010 Share ownership thresholds (%)

As per Article (59) in the Executive Regulations of the Capital Market Law 95/1992, any person who wishes to conclude a transaction resulting in an increase in his shareholding for more than 10% of the nominal shares of the company, should notify the company of such an action at least two weeks before concluding it. The notification shall include the percentage of his shareholding in the company supported by a statement specifying the number and type of shares subject of the transaction, their specifications and the place where the transaction shall be made if the shares are not listed on any of the stock exchanges, as well as the name and address of the brokerage firm through which the transactions shall be carried out.

The company, within one week from date of receiving this notification should accordingly inform the stock exchange in which the shares are listed, as well as every shareholder who owns no less than 1% of the company's shares at his address are recorded with the company, or by means of publication thereon in two widely circulated daily newspapers.The foregoing provisions shall be applicable in case of concluding a transaction that will result in making the holdings of a board member of the company or anyone of its employees exceeds 5% of the company's capital.Such a person shall not conclude any dealings on his shares during the period from the date of the notification mentioned in the first paragraph until the completion of the transaction or expiry of the period assigned for its conclusion, as the case may be.

Short selling  : 

No. It is currently in the pipeline.

Short selling conditions (if any)

Naked short selling will not be allowed in Egypt. Short selling of securities will be allowed only if be backed by borrowing. Thus, securities borrowing and lending system will accompany short selling. This system will be managed by MCDR. The MCDR will act as principal for both lenders and borrowers. Securities lending will occur via a securities pool with all lending participant holdings. It will include the most liquid securities (based upon specific criteria set by EGX). This pool should have a certain amount of securities according to the free float of each stock and where extra lenders will be included in a waiting list.