Egypt ECMA refuses to cut MCDR charges
07 Feb 2016
(MENAFN) The Egyptian Capital Market Association (ECMA) will cut the fees gained by MCDR for settling selling and buying operations using T+1 and T+0 mechanisms.
Furthermore, ECMA wanted a reduction in the charges on all processes carried out using the two mechanisms, in which the ratio of 1/8 per operation would be cut to 1/6 in a thousand.
Accordingly, reason for the rejection is that MCDR puts a high limit of USD 636.65mn for the fees it obtains from each operation, which means that there is a limit.
T+1 is a settling device that permits investors to sell shares the next day after they buy them, whereas the T+0 mechanism is a prompt mechanism that allows trading securities.