Watan – In a strategic maneuver that underscores the intricate dynamics and ever-evolving landscape of global finance, the highly-regarded stock index company, “FTSE Russell,” has taken a significant step by adding Egypt and Pakistan to its watchlist.

This move is a clear indication of potential downgrades in their stock index classifications. The decision, which has garnered attention in financial circles, was prominently reported by the UAE-backed “Al-Arab” newspaper based in London.

The report explores the potential consequences of this decision, indicating a possible shift for both nations from their “Secondary Emerging Markets” status. Specifically, Pakistan might soon transition to a “Frontier Market” classification, while increasing speculation suggests Egypt might land in the “Unassigned” category, mirroring the economic uncertainties in the region.

Analysts will evaluate Pakistan’s market value as of December 29th’s close. Meanwhile, Vietnam stands as a candidate for an upgrade, possibly shifting from a “Frontier Market” to a “Secondary Emerging Market.”

Earlier this month, challenges with capital repatriation led to the FTSE index reclassifying Nigeria from “Frontier” to “Unassigned.”

FTSE Russell plans to provide updates on the watchlist status of Egypt, Pakistan, and Vietnam during its stock country classification review in March 2024.

You might like:

Gulf Railway Vision: Bridging the Divide or Facing a Dead End?