Orascom Construction Industries , Egypt’s biggest publicly traded builder, may borrow $250 million from banks to refinances debt, Al Mal newspaper reported, without saying where it got the information.
Egypt’s plan to raise 4 billion ($683 million) Egyptian pounds this week at debt auctions was disrupted after protests rocked the North African country, forcing the government to close banks and the stock market.
Egypt’s local-currency borrowing costs surged the most in three months after Moody’s Investors Service cut ratings of local banks due to their exposure to government debt and the central bank raised interest rates.
Egypt’s borrowing costs are set to drop as the slowest loan growth three years amid escalating political turmoil prompts banks to park funds in government notes, the Middle East’s top money markets fund manager said.
The DFM General Index retreated 2 percent, the most since March 14, to 1,546.65 at the 2 p.m. close in Dubai. Qatar’s QE Index lost 1.9 percent and Saudi Arabia’s Tadawul All Share Index declined 0.7 percent.