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Egyptians Turn to Gold Investment Funds Amid Economic Instability

October 1, 2024
mm

By Nadine Tag

Journalist

Gold bracelets. Photo credit: Petra/AF.
mm

By Nadine Tag

Journalist

During times of crisis, gold emerged as a safe haven for both individuals and investors seeking financial stability.  In 2023, Egyptians set a record by purchasing 57 tons of gold, reflecting a 10.7 percent rise over the previous year, as financially capable Egyptians have started purchasing gold jewelry from local jewelers or investing in gold-backed certificates offered by investment funds. After the Financial Regulatory Authority (FRA) launched its first gold investment funds in May of 2023, EZ Gold, 70,150 clients subscribed. As of January, its assets amounted to EGP 743.1 million (USD 15.3 million).  In January 2024, the second fund, the Beltone Evolve Gold Investment Fund, also known as Sabayek, was launched, then Al Ahly Financial Investment Management. Around 131,000 Egyptians invested in gold investment funds, amassing a total of EGP 925 million (USD 19.1 million) as of early September, according to the Chairman of the FRA, Mohamed Farid Saleh, a noticeable growth over nine months. The growing interest in buying gold is a result of the Egyptian government promoting investment in gold funds as part of a broader effort to stabilize fluctuating gold prices, with the aim to offer…


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