Al Ahly Pharos

The IMF is in discussions with the new cabinet over its policy and goals for the coming three years, these talks should wrap up next week.  The Oil Ministry is set to receive two LNG shipments within the coming ten days. Suez Canal revenues fell 23% y-o-y during the fiscal year 2023-2024 to record USD7.2 bn. Egypt and Saudi Arabia have completed 60% of the electrical interconnection project betwee...

Market Overview  ETEL ISPH AMOC KZPC CLHO RACC CIRA Prepared by: Mayada Amin - CETA, CFTe

The Oil Ministry is studying the possibility of leasing another floating storage regasification unit (FSRU) in Ain Sokhna to meet the need for additional quantities of natural gas. The Oil Ministry aims to drill 110 exploratory wells for gas and oil, with a total investment of USD1.2 billion during FY 2024/25. It is also planning to drill 586 exploratory wells for gas and oil, with a total investm...

Market Overview  COMI CCAP PHAR EAST MICH EKHO prepared by: Mayada Amin- CETA, CFTe

Annual urban inflation cooled for the fourth consecutive month, registering 27.5% YoY in June, down from 28.1% YoY in May. The new government explained detailed plans for its three-year term. Goals include: Private investments to make up 51% of total investments in Egypt by the fiscal year 2026-2027 and 70% by 2030.  Cabinet aims to reduce the unemployment rate to 6.5% by FY2026-27 and to 6.1% by...

Market Overview  BTFH FWRY  EFIH ORWE prepared by: Mayada Amin- CETA, CFTe

The IMF's board will meet to discuss the staff-level agreement-approved third review of Egypt's USD 8 bn loan program on 29 July, after initially being penciled in for today. An anonymous senior government official said that the delay stems from Egypt “not meeting some conditions.” However, the source clarified that these were “simple procedures by the Fund that will be clarified soon. T...

Market Overview  DOMT EFIH GBCO ORHD PRCL TMGH Prepared by: Mayada Amin- CETA, CFTe

Minister Moustafa Madbouly delivered his new government’s policy statement to the House of Representatives yesterday and delivered a speech to take MPs through the new government’s agenda over the next three years. Main points included (1) an average of 5% growth throughout the entire three-year period, (2) Private investment should make up 60-65% of total investment by 2030, (3) increasing  FDI c...

Market Overview  prepared by: Mayada Amin- CETA, CFTe

Egypt's net international reserves rose to USD46.4 billion at the end of June, surpassing the previous record high of USD46.1 billion posted a month earlier. Non-oil trade deficit declined by 22.9% during 1Q24 to record about USD6.4 billion. The African Development Bank estimates Phase 3 of the water waste treatment plant in Al-Jabal Al-Asfar at about EUR510 million that will be financed by t...

Market Overview  COMI ORWE CSAG ASCM EFIC EGAL EGAS MEPA MPRC prepared by: Mayada Amin - CETA, CFTe

Egypt's PMI ticked up from 49.6 in May to 49.9 in June, posting only fractionally below the 50.0 mark which separates growth from contraction. Prime Minister held a presser a day after his new Cabinet took office, giving an overview of the new government’s list of priorities and its upcoming plans. These include (1) increasing the private sector’s contribution to the overall economy to more t...

Market overview COMI ADIB EAST BTFH CIEB Prepared by: Mayada Amin- CETA, CFTe

According to the Minutes from the two-day session held on June 11-12, Federal Reserve officials at their June meeting indicated that inflation is moving in the right direction but not quickly enough for them to lower interest rates. The FOMC “dot plot” showed one quarter percentage point cut by the end of 2024.  The government cleared USD1.3 bn worth of arrears to foreign oil and gas companies ope...

Market Overview  ABUK ORWR PRCL ORHD prepared by: Mayada Amin- CETA, CFTe

*Key news articles for today* The names of the new Cabinet were announced, with close to 20 new faces set to take over ministries.  Among main changes was the Minister of Finance, as Ahmed Kouchouk is replacing Mohamed Maait.  Real estate player El Attal Holding is planning to list 30-35% of its shares on the EGX in 2025. The Ministry of Petroleum has repaid USD1.3 billion to foreign oil and gas c...

Market Overview  CCAP  CERA DOMT EFIH ISPH Prepared by: Mayada Amin- CETA, CFTe

El Gouna Land Sale Unlocks Massive Value and Reconfirms ORHD as Our Sector Top Pick ORHD sold a 145k sqm land plot at the backend of El Gouna for EGP1.5 billion, implying a price of USD225/sqm. This is highly positive from both a valuation perspective and an earnings perspective. If we apply the USD225/sqm price to both back and midway land in our valuation, our FV would accordingly increase from...

Market Overview  EFIH ADIB MTIE PHDC ISPH DOMT Prepared by: Mayada Amin - CETA, CFTe

At the end of the two-day Egypt-EU Investment conference, Prime Minister said that 29 agreements and MoUs had been signed over the event totaling EUR49 billion with EU-affiliated entities. On top of this, a further six agreements and MoUs with non-EU-affiliated entities that export to the EU inked a further EUR18.7 billion. Egypt is looking to raise its target for the renewable share of energy gen...

Market Overview  ISPH COMI ADIB MICH FWRY  AMOC Prepared by: Mayada Amin- CETA, CFTe

Al Ahly Financial Investments Management and Evolve Investment have launched Dahab Fund. Dahab is an Open-End fund that aims to achieve appropriate long-term returns for investment in gold, allowing instant investment with high liquidity and low cost such that the Net Asset Value of the fund is calculated based on the gold price announced by the Egyptian Stock Exchange.   A report issued by the In...

Market Overview  COMI MTIE PHDC  BTFH HELI OLFI Prepared by: Mayada Amin - CETA, CFTe

*Key news articles for today* Mostafa Madbouly penciled in the third week of July as when the country will be ready to “stop cutting electricity completely throughout the summer period.” However, Madbouly clarified that the current “one hour” extension will continue as planned until the end of the week and that power cuts will resume after the summer months until the end of year. The surprise week...