Abstract This study examines the relationship between the earnings quality and cash holding. Therefore, this research aims to answer the following question: what is the relationship between the earnings quality and cash holding? In order to test the hypothesis of the research, a measure of the cash holding was used: cash and cash equivalents to total assets at the end of the period. In addition, the discretionary accruals (as an inverse measure of earnings quality) were estimated using the original Jones model. The researcher tested the hypothesis of the research on a sample of 126 listed non-financial Egyptian firms, with 372 firm-year observations, between 2013 and 2015.Using the multiple regression analysis model, the research provides empirical evidence that the earnings quality is negatively related to the cash holding in the Egyptian shareholding companies, meaning that with lower earnings quality, the cash held will increase. Key Words: Earnings Quality, Cash Holding, Information Asymmetry, Discretionary Accruals.