Egypt is making strides to regain its position in JPMorgan Chase & Co.’s Government Bond Index for Emerging Markets (GBI-EM), a benchmark tracked by more than $200 billion in emerging-market funds.

JP Morgan expects an increase of $16.2 billion in Egypt’s foreign exchange (FX) reserves in the coming fiscal year (FY) 2024/2025 and $2.6 billion in FY 2025/2026.

JP Morgan forecasts the Central Bank of Egypt (CBE) to further raise interest rates by 200 basis points (bps) later in March amid the current inflationary pressures.

JP Morgan expects a further devaluation of the Egyptian pound, which could range between EGP 45 and EGP 50 against the US dollar.

JP Morgan has decided to exclude Egypt from its Government Bond Index-Emerging Markets (GBI-EM) index.

Egyptian Minister of International Cooperation Rania Al-Mashat and the Executive Director of JP Morgan Chase’s office in Egypt Soha Ali have discussed ways to enhance joint cooperation.