Egypt in the doldrums as reforms are delayed

Egypt remains an unexciting market for investors due to conflict in Africa and delays in privatisation programmes. The market had rebounded, with the Hermes Financial Index up 50% in dollar terms over 1999, on the back of a reduction in Egypt's current account deficit and expectations of further improvements. Year to date however, the index has fallen back by 20% in dollar terms. Aberdeen Asset Management has only minor exposure to Egypt, saying this is an unexciting market caught in the doldrums. Andrew Elder, fund manager at Aberdeen, says: "We used to be positive on Egypt back in 19...