The Egyptian Exchange (EGX) is positioning itself for a strong investment year in 2026, with expectations of one of the most active periods for initial public offerings (IPOs) in its history. According to EGX Chairman Islam Azzam, the exchange plans to list approximately eight new companies, with a notable concentration in the medical and tourism sectors. This strategy is aimed at stimulating market activity and attracting fresh investment, building on the momentum generated in recent years.

The EGX recorded robust growth in 2025, with total market capitalization rising by 42% year-on-year. Since mid-2022, cumulative growth has reached an impressive 390%, signalling a renewed wave of confidence among both domestic and foreign investors. This resurgence is further reflected in the expanding investor base, which grew by 20% year-on-year to 276,000 registered participants. The increased adoption of mobile trading platforms has played a critical role in widening market access, particularly among younger investors.

In parallel with new listings and rising participation, the EGX is implementing structural reforms to strengthen its global standing. The exchange has successfully met the qualitative criteria set by FTSE Russell for potential reclassification as a developed market. This milestone is significant, as index inclusion often shapes global fund allocation strategies and long-term capital inflows, enhancing Egypt’s market visibility even ahead of any formal upgrade.

Additional reforms underscore the EGX’s shift toward a more sophisticated market structure. The exchange’s transition into a joint stock company is expected to accelerate the introduction of advanced market instruments. Plans are underway to launch derivatives, market makers, and short-selling mechanisms in the first quarter of 2026. More than half of listed companies have also agreed to extend trading hours, while the continued expansion of mobile trading platforms is expected to drive higher turnover and deeper retail engagement.

Collectively, these developments indicate that the EGX is moving beyond recovery and into a phase focused on market depth, innovation, and sustainable long-term growth. Egypt’s equity market is entering a new chapter defined by heightened activity, broader participation, and foundational structural reforms. The strong performance since 2022 has helped restore investor confidence after a period of volatility and constrained liquidity.

The anticipated IPO pipeline further reflects growing willingness among private firms to tap public markets, particularly in defensive and hard currency–generating sectors such as healthcare and tourism. These industries remain especially attractive to investors due to their resilient demand profiles and exposure to foreign revenue streams, which are highly valued amid ongoing macroeconomic pressures.