CAIRO: Egyptian companies trading in the stock market lost 169 billion EGP (U.S. $28.6 billion) in market capital from early 2011 through mid-October 2011. This underlined the negative impact of successive crises hitting the Egyptian Stock Exchange since the outbreak of Egypt's January uprising, in addition to the debt crises in America and Europe. Shares of companies listed in the market lost about 40 percent of their value within a period not exceeding 6 months. The loss is blamed on continuing political turmoil and continuing lack of security and stability 10 months after the revolution. Many financial analysts say the crisis will continue beyond upcoming parliamentary elections and perhaps beyond presidential elections, expected sometime next year. The biggest problem is that a wide range of institutions and factories stopped production for long periods of time and most foreign investors removed their money from the Egyptian market. Those who invest indirectly in the Egyptian market through the Stock Exchange or who invest directly have particularly withdrawn, preferring to postpone their business until stability is restored to the market.
