Urgent change needed if egypt's developers are to survive

AlembicHC Securities is urging Egypt’s hard-pressed property developers to Change their business models urgently if they want to benefits from the country’s government housing initiatives as the economy starts to rebuild after the revolution.

The analysts argue that too many Egyptian developers have concentrated on serving the needs of the “wealthy elite” and building homes that are too expensive for the majority of Egyptians.

"The sector is not fully represented by the current listings on the Egyptian stock exchange, which mainly consist of luxury developers," Ankur Khetawat, an analyst at AlembicHC Securities in Dubai told OPP.

The news comes as the Swiss-listed Egyptian property and hotels group Orascom Development posted a third-quarter net loss of CHF2.98m ($3.23m), blaming political and economic upheaval in Egypt and other parts of the Arab world.

Source: OPP.org.uk