Concord CEO Discusses Pension Funds

Mohamed Younis, Chairman of Concord International in New York, revealed that the Egyptian government during the tenure of Dr. Kamal El-Ganzouri’s government (1996-1999) invested 500 million Egyptian pounds from social insurance and pension funds into an investment fund in the stock market, which began its activities in December 1997. The fund was established with the participation of the Social Insurance Authority, Egypt Insurance Company, and four government banks, with the goal of making long-term investments in the Egyptian stock exchange, especially following the Asian financial crisis of 1997. The funds were managed through Banque Misr, with the company's role limited to buying and selling stocks, without direct authority over the funds. After a period of market stagnation, the Social Insurance Authority decided to divest, incurring losses of about 20 to 25 million pounds from the initial capital. Upon liquidation, the investments were valued at approximately 3 billion pounds, with an annual return of 15.21%. Younis affirmed that the government’s decision was sound and that the shareholders who continued investing achieved profits exceeding one billion pounds if they had retained their funds.

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