Egypt faces uphill task over privatization plan

The Egyptian government faces an uphill task as it moves ahead with plans to offer stakes in over 20 state-run firms, Bloomberg reported.

The government plans to float the first company in the next ten days and delaying the program that has the full backing of President Abdel-Fattah El-Sisi runs the risk of sending the wrong signal to investors at a key time, the report added.

The recent turmoil across emerging nations has impacted Egypt, as it grapples to attract foreign investors in the midst of a sweeping economic overhaul.

The government is looking to sell shares in four to five companies already this year in an effort to streamline the bloated public sector and turn around loss-making state enterprises, the newswire reported.

On Monday, Sarwa Capital, a consumer and structured finance solutions provider, plunged 11 percent on its debut on the Egyptian Exchange.