Al Ahly Pharos

*Key news articles for today*   The Finance Ministry is set to reduce penalties for late tax payments by up to 90% as part of its larger tax relief package, in a move that aims to resolve thousands of disputes resulting from delayed tax return submissions or filing returns without paying the due tax.  The countdown to the Grand Egyptian Museum’s official opening is on 3 July launch after President...

Remittances from Egyptians abroad jumped 51.3% y-o-y in 2024, reaching USD29.6 bn. Home appliance maker Electrolux has decided to stay in the Egyptian market, scrapping plans to sell its local operations after a final review. Chinese appliance manufacturer Haier plans to inject USD500 mn over the next five years to expand its industrial complex in Tenth of Ramadan to increase its production capaci...

- Market Overview  - ADIB - ETEL - ORAS - SKPC - PHAR - Prepared by: Mayada Amin- CETA, CFTe

The Finance Ministry is gearing up to complete its first sovereign sukuk issuance of the year within the next month, with the issuance set to be around EGP2-3 billion. The Cabinet approved the launch of a EGP30 billion financing initiative to support and finance priority industrial sectors.  UAE’s AMEA Power signed an agreement with the Egyptian Electricity Transmission Company to develop two batt...

- Market Overview  - GBCO - OCDI - COMI - ACGC Prepared by: Mayada Amin- CETA, CFTe

The MPC acted conservatively, deciding to keep rates unchanged at 27.25% for overnight deposit and 28.25% for overnight lending rate, citing global uncertainties and a slower pace of inflation deceleration throughout 2H2024 with increased upside risk to the outlook. Local gas production dipped to an eight-year low of 4.87 billion cubic feet per day (bcf/d) in 2024, down 16% y-o-y.  China's No...

- Market Overview  - TMGH - ORWE - OCDI - AMOC - prepared by: Mayada Amin- CETA, CFTe

The MPC is scheduled to meet today to decide on policy rates. We believe the CBE might prefer to cut rates by 100-150 bps in its meeting today. Moody’s kept Egypt’s outlook positive and affirmed its Caa1 rating.  UK-based Shard Capital and Saudi Arabia-based Alqahtani Holding inked a framework agreement for a USD7 billion petrochemical production complex in New Alamein with the Oil Ministry-backed...

- Market Overview  - ABUK - FWRY - MFPC - ORHD - Prepared by: Mayada Amin- CETA, CFTE 

The government is working on a number of ways of facilitating customs including electronically linking data with the Egyptian Tax Authority to expedite data verifications, improving issues related to duty drawback, temporary admission, and pre-release procedures for shipments. Adnoc Distribution plans to expand its aviation fuel services in Egypt beyond its existing presence at Cairo and Marsa All...

- Market Overview  - CCAP - BTFH - ETEL - AMOC - EKHOA - prepared by: Mayada Amin-CETA, CFTe

The Oil Ministry yesterday inked two agreements with Cyprus to liquify and re-export Cypriot natural gas. Saudi renewables giant Acwa Power is setting up a 2 GW wind farm in South Hurghada with investments of SAR8.6 bn (c. USD2.3 bn). Italian leading hospital group San Donato Group wants to set up a USD100 mn hospital and an international medicine-focused university. Chinese electronics and househ...

- Market Overview  - COMI - ADIB - BTFH - OIH - GBCO - prepared by: Mayada Amin- CETA, CFTe

IMF boss confirmed that the Fund will continue to support the Egyptian economy as it carries out reforms.  The government will pay out USD1 billion of arrears owed to foreign energy companies early next month. The Emirati company Dana Gas will resume its drilling activities in Egypt starting next March, after receiving part of its overdue dues from the Egyptian Petroleum Authority. BP kicked off p...

- Market Overview  - ABUK - ORHD - ETEL - ADIB - ORAS - Prepared by: Mayada Amin- CETA, CFTe

Cypriot President Nikos Christodoulides reconfirmed that he will sign “the first agreements for the commercialization of natural gas from deposits in the Republic of Cyprus” tomorrow.  Egypt’s unemployment rate fell to 6.4% in 4Q 2024, down 0.3 percentage points from the previous quarter, according to data from state statistics agency Capmas. Efforts to speed up customs clearance got the cabinet t...

- Market Overview  - COMI - HRHO - CIEB - ETEL - EMFD - PHAR prepared by: Mayada Amin- CETA, CFTe

The government is currently working on preparing the budget for FY 2025-26, all while preparing a comprehensive three-year budget with a financial ceiling that can only be exceeded in exceptional cases, one of the sources said. Government entities will also submit another budget covering FY 2026-27 to FY 2029-30. Ministries will be given cabinet-approved financial ceilings that can’t be exceeded....

- Market Overview  - ETEL - CIEB - ISPH - RMDA - HRHO - prepared by: Mayada Amin- CETA, CFT

*Key news articles for today*   Egypt plans to “present a comprehensive vision for the reconstruction of the Gaza Strip in a manner that ensures the Palestinian people remain in their homeland and aligns with their legitimate and legal rights. Two consortiums of international energy players are set to invest a total of USD130 million over the next five to eight years in drilling 10 oil and gas exp...

- Market Overview 

Annual urban inflation recorded 24.0% in January 2025 compared with 24.1% in December 2024.  Annual core inflation, computed by the CBE, recorded 22.6% in January 2025 compared with 23.2% in December 2024.  Spanish hospitality group Barceló is in negotiations to acquire and participate in several projects in Egypt, CEO Raúl González said in a meeting with Investment Minister Hassan El Khatib durin...

- Market Overview  - TAQA - CCAP - OIH - HRHO - ELKA - prepared by : Mayada Amin- CETA, CFTe

The National Wages Council decided to raise the minimum wage for private sector workers to EGP7k a month, up from EGP6k, starting March. The Council also set the value of the bonus granted to employees at no less than 3% of their social insurance wage with a floor of EGP250 per month. Hong Kong-listed United Energy Group (UEG) inked a sale and purchase agreement to fully acquire Apex's upstre...

- Market Overview  - ABUK - EAST - JUFO - HRHO - ADIB - prepared by: Mayada Amin- CETA, CFTe