2014-04-03 05:09:01 - Egypt Metals Report Q2 2014 - a new market research report on companiesandmarkets.com
We forecast modest growth in the Egyptian steel sector over the coming years, in line with our outlook for the wider economy. We are taking into account the influence of the weak Egyptian pound on the sector and whether depreciation is sufficient to compete in an over-supplied regional market. We expect the worsening political situation to weigh on growth.
We remain positive about the effects of Egypt´s transition towards a democratic government, as investors will begin to look more favourably towards the country as a potential market to work with. We have seen these positive effects on the country are already beginning to show. For 2014, we forecast steady Egyptian steel production growth on the back of greater investment in expanding
production capacity and more stability in the country following the 2013 ouster of the Muslim Brotherhood, as well as greater investment pouring in from Gulf countries looking diversify their regional portfolios.
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