Abstract
This paper adopts an inductive research approach and is divided into three sections. The first section is a theoretical inductive overview of Economics Market in Egypt and discusses the role of financial markets in resources mobilization and division of financial market in Egypt. Aiming to read the current situation of the Egyptian economic market. The second section describes the key players in the capital market by reviewing the role of financial markets economic growth. The third part introduces the reading in the real estate market in Egypt with Real Estate’s Big Picture. The overall economic sector has a number of distinctive focal points, one of which is real estate, a primary sector of the economy. Between 30% and 50% of high and middle-income assets consist of real estate property and the percentage is even higher for lower-income Egyptian families. Moreover, the market capitalizations of land corporations publicly listed on the Egyptian Stock Market has been boosted by double-digit revenue growth, and the real estate sector has also been growing markedly at the macro level; with a growth rate exceeding 20%, its overall contribution to GDP has surpassed 10%. It is to be noted that the Egyptian real estate market is not one uniform sector; it is divided between principal residences located in Greater Cairo (mainly dominated by large and mid-scale developers), vacation homes on the coast (assorted real estate developers) and real estate in other areas across the country (generally developed by individual owners). Finally, with the results and recommendations, we will find that as a part of the whole urban development it is a very important part of the economic growth of Egypt.
Highlights
Financial markets play a vital role in the mobilization of monetary assets and economic resources for future investment through financial activity
To accommodate consumers during the economic and political uncertainty, real estate developers devised more flexible payment conditions and extended payment schemes, creating today’s typical seven-to-10-year payment schedules for residential properties. While these initiatives contributed to the sector’s growth and development, the many difficulties slowing down economic activity across the board in Egypt today are challenging the resilience of the real estate sector [10]
In spite of the increase in construction costs and depressed disposal incomes in 2017 due to the flotation of the Egyptian pound toward the end of 2016 and the subsequent currency devaluation, there was a considerable rise in the demand for property in Cairo, real estate being perceived as a stable investment opportunity [17]
Summary
Financial markets play a vital role in the mobilization of monetary assets and economic resources for future investment through financial activity. Cash markets facilitate mercantilism in short-term debt instruments to satisfy the short-term needs of huge fund users, such as governments, banks and similar entities and establishments. A wide variety of economic establishments, together with merchandiser banks, business banks, financial organizations and different dealers operate within the securities industry Both public and non-public sector operators make use of various monetary instruments to boost and invest short-term funds that can be (and often are) swiftly liquidated to satisfy short-term needs when needed. In light of the benefits of efficient financial systems, several African countries have attempted to enact financial sector reforms These have served as policy measures aimed at both promoting the development of domestic financial systems and removing obstacles to international capital flows.
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