{"id":553907,"date":"2021-12-13T03:50:47","date_gmt":"2021-12-13T03:50:47","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2021\/12\/13\/egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022\/"},"modified":"2021-12-13T03:50:47","modified_gmt":"2021-12-13T03:50:47","slug":"egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2021\/12\/13\/egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022\/","title":{"rendered":"Egypt to rejoin JPMorgan EM bond index in January 2022"},"content":{"rendered":"<p><a class=\"content-anchor\" id=\"tldr-story-04\"><\/a> <strong>Egypt is set to join JPMorgan\u2019s Emerging Markets Bond Index (EMBI) by the end of <\/strong><strong>January with an estimated weight of 1.8%<\/strong>, Finance Minister Mohamed Maait announced yesterday, according to a <a href=\"https:\/\/www.facebook.com\/EgyptianCabinet\/posts\/293068406196920\">cabinet statement<\/a>. Some 14 government bonds, with a total value of USD 26 bn, are expected to enter the benchmark index, which tracks the performance of a basket of EM government bonds .<\/p>\n<p><strong>Green bonds galore:<\/strong> Egypt will also join JPMorgan\u2019s Environment and Governance Index by the end of January 2022 with a weighting of 1.2%, according to the statement, after the government made its first-ever sovereign green bond issuance in 2020, raising USD 750 mn from investors to channel into green projects.<\/p>\n<p><strong>What this means for portfolio flows:<\/strong> Investors tracking the index could pour some USD 1 bn into the local bond market by virtue of Egypt\u2019s inclusion, Maait said. The move could unlock up to USD 4.8 bn in new inflows from passive funds that track the index, potentially leading to a 5% appreciation for the EGP against the USD, Rand Merchant Bank economist Neville Mandimika told <a href=\"https:\/\/www.reuters.com\/article\/uk-egypt-economy-relisting\/egypts-relisting-on-jp-morgan-bond-index-could-attract-48-billion-rmb-says-idUSKBN2BL1MJ\">Reuters<\/a> back in March.<\/p>\n<p><strong>A decade in the (re)making: <\/strong>It took almost three years of discussions to get Egypt back on the EMBI, according to Maait. Egypt was <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/2942a7fd-4cca-4286-98b3-5c2d1c99da8a\">removed<\/a> from the index in June 2011 for not meeting requirements, in the wake of the economic turmoil that followed the 25 January revolution.<\/p>\n<p><strong>Why now? <\/strong>Around 90% of surveyed investors supported Egypt\u2019s inclusion, according to the cabinet statement, thanks to increased liquidity, improved access to the onshore government bond markets for foreign investors, and improved access to the local bond market. Egypt now has a combined nominal USD 28.2 bn in longer-term bonds maturing in more than 2.5 years, which is the minimum maturity for inclusion in the index.<\/p>\n<p><strong>Index inclusion could coincide with Egyptian bonds finally becoming Euroclearable:<\/strong> The government has also been working to satisfy requirements to <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/77f1fef1-7022-4da7-a44e-d3ae01256eac\">make Egyptian debt \u201cEuroclearable,\u201d<\/a> making it easier for foreign funds to get into and out of Egyptian debt. Technical discussions have dragged on for longer than anticipated as the ministry continues working to meet the European clearinghouse\u2019s conditions, which policymakers hope to achieve early in 2022.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Egypt is set to join JPMorgan\u2019s Emerging Markets Bond Index (EMBI) by the end of January with an estimated weight of 1.8%, Finance Minister Mohamed Maait announced yesterday, according to a cabinet statement. Some 14 government bonds, with a total value of USD 26 bn, are expected to enter the benchmark index, which tracks the [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":553908,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7206],"tags":[104,72,224,352,277],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-553907","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","tag-economy","tag-enterpriseam","tag-green-bonds","tag-jp-morgan","tag-mohamed-maait","wpautop","entry"],"acf":{"mongo_id":"46b492da-c89b-404a-9564-e09959699ea6","is_powered_by":true,"story_type":"1","photo_url":"https:\/\/ent.news\/2021\/12\/317.jpg","photo_position":"above","related_issue":[553897],"teaser":"","voice_url":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Egypt to rejoin JPMorgan EM bond index in January 2022 - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2021\/12\/13\/egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Egypt to rejoin JPMorgan EM bond index in January 2022\" \/>\n<meta property=\"og:description\" content=\"Egypt is set to join JPMorgan\u2019s Emerging Markets Bond Index (EMBI) by the end of January with an estimated weight of 1.8%, Finance Minister Mohamed Maait announced yesterday, according to a cabinet statement. Some 14 government bonds, with a total value of USD 26 bn, are expected to enter the benchmark index, which tracks the [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/enterpriseam.com\/egypt\/2021\/12\/13\/egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022\/\" \/>\n<meta property=\"og:site_name\" content=\"EnterpriseAM Egypt\" \/>\n<meta property=\"article:published_time\" content=\"2021-12-13T03:50:47+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/i0.wp.com\/ent.news\/2021\/12\/317.jpg?fit=%2C&ssl=1\" \/>\n<meta name=\"author\" content=\"enterpriseam admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"enterpriseam admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/12\/13\/egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/12\/13\/egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022\/\"},\"author\":{\"name\":\"enterpriseam admin\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d\"},\"headline\":\"Egypt to rejoin JPMorgan EM bond index in January 2022\",\"datePublished\":\"2021-12-13T03:50:47+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/12\/13\/egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022\/\"},\"wordCount\":362,\"publisher\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\"},\"image\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/12\/13\/egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/i0.wp.com\/ent.news\/2021\/12\/317.jpg?fit=%2C&ssl=1\",\"keywords\":[\"economy\",\"EnterpriseAM\",\"green bonds\",\"JP Morgan\",\"Mohamed Maait\"],\"articleSection\":[\"Economy\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/12\/13\/egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022\/\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/2021\/12\/13\/egypt-to-rejoin-jpmorgan-em-bond-index-in-january-2022\/\",\"name\":\"Egypt to rejoin JPMorgan EM bond index in January 2022 - 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The country is eligible for a weight of close to 1.85%, with 14 government bonds with a combined\u2026","rel":"","context":"In &quot;DEBT WATCH&quot;","block_context":{"text":"DEBT WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/debt-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2021\/10\/155.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":561222,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/03\/30\/egypt-could-be-back-on-jp-morgans-em-bonds-index-in-2h2021\/","url_meta":{"origin":553907,"position":2},"title":"Egypt could be back on JP Morgan\u2019s EM bonds index in 2H2021","author":"enterpriseam admin","date":"30 March 2021","format":false,"excerpt":"Egypt is expected to secure a spot on JP Morgan\u2019s emerging-market government bonds index in 2H2021, unlocking up to USD 4.8 bn in new inflows from passive funds that track the index, and potentially leading to a 5% EGP appreciation against the USD, Rand Merchant Bank economist Neville Mandimika told\u2026","rel":"","context":"In &quot;DEBT WATCH&quot;","block_context":{"text":"DEBT WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/debt-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":543430,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/02\/01\/egypt-rejoins-jpmorgan-bond-index\/","url_meta":{"origin":553907,"position":3},"title":"Egypt rejoins JPMorgan bond index","author":"enterpriseam admin","date":"1 February 2022","format":false,"excerpt":"Egypt rejoined JPMorgan\u2019s emerging-market bond index following a decade of absence yesterday in a move that could bring new passive flows into the local debt market. Fourteen EGP bonds worth around USD 26 bn have been added to the JPMorgan GBI-EM Global Diversified Index, giving Egypt a weighting of 1.85%,\u2026","rel":"","context":"In &quot;DEBT WATCH&quot;","block_context":{"text":"DEBT WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/debt-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/2\/2.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":591555,"url":"https:\/\/enterpriseam.com\/egypt\/2019\/12\/10\/egypt-plans-three-bond-issuances-before-the-end-of-the-fiscal-year-maait\/","url_meta":{"origin":553907,"position":4},"title":"Egypt plans three bond issuances before the end of the fiscal year -Maait","author":"enterpriseam admin","date":"10 December 2019","format":false,"excerpt":"The Finance Ministry is considering tapping bond markets three more times before the end of the current fiscal year, Finance Minister Mohamed Maait said yesterday, according to the local press. The offerings could be made up of sukuk, green bonds and variable-rate bonds, he said, without disclosing a target figure.\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2020\/1\/738.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":562904,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/06\/10\/ftse-russell-index-inclusion-could-bring-usd-4-bn-into-egp-bonds-says-finmin\/","url_meta":{"origin":553907,"position":5},"title":"FTSE Russell index inclusion could bring USD 4 bn into EGP bonds, says FinMin","author":"enterpriseam admin","date":"10 June 2021","format":false,"excerpt":"The Finance Ministry is expecting an additional USD 4 bn in foreign inflows into Egyptian debt on the back of Egypt\u2019s inclusion in the FTSE Russell\u2019s new frontier-market sovereign bond index, Finance Minister Mohamed Maait said in a statement yesterday. The British index provider yesterday launched its Frontier Emerging Markets\u2026","rel":"","context":"In &quot;MARKET WATCH&quot;","block_context":{"text":"MARKET WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/market-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2021\/6\/149.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/553907","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=553907"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/553907\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/553897"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media\/553908"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=553907"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=553907"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=553907"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=553907"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=553907"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}