Never before has Egypt's economy been booming as now, particularly due to the liberalization of the economy which opened up new ways, thereby presenting the lucrative opportunities for foreign investment. The country offers a diverse range of investment opportunities, specifically in agriculture, real estate and the IT sector, to name only a few. Some investors may ask themselves whether it is safe to invest in Egypt in light of the recent events concerning the Gaza Strip and the ongoing disputes and clashes in that region. However, fact is that Egypt has proved to remain unaffected by the events in the Occupied Territories which have been continuously occurring at least for the last 60 years, sometimes on smaller and other times on a bigger scale.
Moreover bordering another country with political upheaval, namely Sudan has also proved to have had no negative implications whatsoever on Egypt's economy. Having said that, it can be safely claimed that Egypt is a politically stable country, which can be greatly ascribed to the fact that Egyptian President Hosni Mubarak, a man of vision and a firm grip concerning the world of politics, has taken over his 5th term in office. It is also safe to assume that his son Gamal Mubarak, himself a great visionary of economic liberalization, will follow in his father's footsteps, thereby continuing to pave the way to Egypt's total integration as an emerging global economic power.
The minimum reserve requirement in the United States is 10% on transaction deposits (M1), however regarding time deposits and all other deposits no minimum amount is required. Regarding European economies, the Euro-zone has a requirement of only 2% and the percentage for other European countries varies from 2.5% to 15%, whereby it is noticeable that Eastern European economies have stricter regulations and the highest minimum reserve requirements. It may seem of course that high requirements on the banking system in developing countries interfere and even rather repress the financial development, however this very regulation saved the Egyptian economy from the impact of the international recession that affected economic powers. In Egypt, the minimum liquidity ratio constitutes 20% for local currencies and 25% for foreign currencies. Thus at the moment the average loan to deposit ratio in Egyptian banks is only 54 %, compared to most developed-world banks which have more than double that figure as their ratio.
Steadfast Alliance is committed to Egypt's economic growth and has all resources in-house to have you benefit from its potential.