Goldman Sachs, Pictet Asset Management dismiss default concerns for Egypt

Goldman Sachs, Pictet Asset Management dismiss default concerns for Egypt

Goldman Sachs Group Inc. and Pictet Asset Management expect Egypt to avoid default and perform well for investors as pessimism priced into Egypt's dollar bonds is exaggerated, Bloomberg reported. January saw a 1.7% decrease in Egypt's dollar notes, which is the lowest monthly performance since August. In January, global ratings giant Moody's downgraded Egypt's outlook from stable to negative, citing growing concerns about the country's credit profile. As the expectation grows for yet another currency devaluation, the pound's unrelenting decline in the black market has contributed to the pessimistic outlook. Despite these challenges, Egypt's likelihood of defaulting on its debt is lower than market estimates, according to Makshya Trivedi, head of global foreign exchange, interest rates, and emerging markets strategy research at Goldman Sachs. Copyright © 2022 Arab Finance Brokerage Company All rights reserved. Provided by SyndiGate Media Inc. (Syndigate.info). Goldman Sachs, Pictet Asset Management dismiss default concerns for Egypt