Egyptian credit spreads remain resilient with strong EM demand

There is strong demand for emerging market credit with 1Q2017 primary issuance hitting new record high, according to BNP Paribas’ Africa Weekly DCM Market Update. The report shows that Egyptian credit spreads remained resilient on strong secondary trading activity. Newly issued notes tightened on a US Treasury rally, which drove Egyptian yields to trade at record lows, dropping by c.1% since issuance with the yields on notes maturing in 2022 at 5.1% those maturing in 2027 at 6.6%.