EGX to launch e-disclosure system Thursday

The Egyptian Exchange (EGX) will launch its electronic disclosure system on Thursday.

The step is meant to upgrade the performance of the Egyptian market and promote transparency.

Companies listed on the EGX will be able to post disclosure reports directly on trading screens, said EGX chairman Mohamed Omran Tuesday, noting the new system thus saves time and effort.

The e-disclosure system also helps limit mistakes that might occur due to human error, Omran added.

Investors will be able to get instant information about developments and the financial status of any given company, he said.

The new system has been tested over the past three months to make sure it is effective, Omran assured.

E-disclosure will first be applied to 33 companies listed on the EGX 30 index and three other firms, he said, adding those have successfully passed all technical and technological tests.

The system will be gradually applied to the rest of EGX-listed companies after their technological infrastructure is completed, Omran noted.

Launching the e-disclosure system is an important strategic step that Omran hopes would have a positive impact on assessments of the Egyptian market and would help lure more investments.

It is meant to improve the investment climate and hone the competitiveness of the Egyptian market among other emerging markets, he said.

"We're sending a clear message to investors that disclosure and transparency are given top priority by EGX management," Omran said.

The volume of disclosures has jumped from an average of 5,400 to 9,300 over the past three years, he noted.

The EGX chairman also stressed that he has been acting to also upgrade the quality, and not just the quantity, of disclosures made available to investors.

Omran said he is proud of the new system that has been outlined by IT officials at the EGX.

He believes the EGX can very well share its self-designed e-disclosure system with other countries in the coming stage.