Al Ahly Pharos

Prime Minister said the government will unveil several investment opportunities in key sectors during the joint investment conference between Egypt and the European Union slated for 29-30 June. Prime Minister and several government officials on Thursday held an online meeting with over 200 international investors, representing 110 companies. The conversation centered around the local investment en...

Market Overview  COMI EAST AFDI ORAS BINV prepared by: Mayada Amin - CETA, CFTe

Prime Minister said that a subsidized bread loaf will be sold at 20 piastres, up from 5 piastres starting in June. The government is currently looking into replacing subsidies with cash support, a move which will allow citizens to use the support according to their needs. The government will hike electricity prices in July with the beginning of the new fiscal year. On average, the hikes will excee...

Market Overview 

Egypt is looking to welcome some 15.5-16.5 mn tourists this year, Tourism Minister said. The Ministry has revised its initial target of 17-18 mn due to geopolitical tensions. There will be no increase to income tax rates or brackets, Finance Minister, in response to media reports that claimed otherwise. The government is looking to launch a telecom-focused sub-fund under the Sovereign Fund of Egyp...

Market Overview  SWDY SKPC MFPC BINV PHDC Prepared by: Mayada Amin, CETA, CFTe

Market Overview  Prepared by: Mayada Amin- CETA, CFTe

Foreign investments in the secondary market for treasuries recorded a net sale on Monday of EGP1.7 billion, the first after the EGP flotation early March. Foreigners bought EGP326 million worth of treasuries and sold about EGP2.04 billion.   American energy company Apache invested USD137 million in exploration activity in Egypt during the 1Q24.   The government is looking to cut down on its spendi...

Egypt and Italy agreed to kick off negotiations for the fourth phase of their debt swap arrangement. The government intends to invest EGP8 billion to establish six strategic stores for medicines and medical supplies, with construction operations to be completed during the next year. The government intends to renew the initiative to exempt gold from customs until the end of next June. The Chairman...

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

The CBE decided to keep the current key interest rates unchanged in its meeting held on Thursday. The CBE attributed its decision to the easing inflationary pressures, among other factors. The IMF is currently conducting the third review of Egypt’s expanded USD8 billion loan program. UK-based and Africa-focused petroleum firm Vivo Energy has reportedly submitted an offer of around USD100 million f...

Market Overview  MASR EAST CLHO MENA prepared by: Mayada Amin - CETA, CFTe

The CBE withdrew surplus liquidity from banks worth EGP872.5 billion from in open market operations fixed rate deposits of 27.75%, while returning liquidity worth one trillion pounds that it had withdrawn last week.  The government lowered its forecast for the economic growth rate in FY2023/24 to 2.8% - 2.9%, from a previous forecast of 3%, as a result of geopolitical turmoil. Representatives from...

Market Overview  EMFD HELI MASR EFID

The CBE sold yesterday 3-years T-bonds worth EGP5 billion, more than the EGP4 billion originally targeted. Yields averaged 24.83%, lower than 24.98% in the last auction. The government is planning a 20% payment of international oil companies’ dues during June 2024. Current dues reached USD4.5 billion after the payment of USD1.5 billion last March.   Egypt’s production of natural gas increased by 4...

Market Overview  PHDC ORHD ISPH ESRS prepared by: Mayada Amin- CETA, CFTe

The government is planning to offer up incentives to investors looking to invest in tourism projects that will wrap up construction before June 2026. A source at the General Authority for Investment and Free Zones revealed that the Authority is in the process of establishing 4 environment-friendly investment zones by 2030, with investments of EGP5 billion. The House gave final approval to the Unif...

Market Overview 

The CBE's Monetary Policy Committee is meeting on Thursday 23rd May to decide on interest rates. We expect the CBE to keep rates unchanged in its upcoming meeting, as our forecasted inflation readings for the upcoming period suggest that there is a disinflation path that is expected to be maintained during most of the upcoming months of the year, gradually eroding the negative real interest r...

Market Overview  ABUK EKHOA ORAS  ESRS TMGH Prepared by: Mohamed Othman - CETA, CFTe

The UN Development Program (UNDP) estimates that the war in Gaza could cost Egypt’s economy between USD5.6 bn and USD19.8 bn throughout the current and upcoming fiscal years, depending on how far the conflict escalates, as Suez Canal and tourism revenues are expected to take a big hit, among other worries.  A government agency has asked some business organizations, including the Federation of Egyp...

Market Overview  ADIB CCAP SWDY  FWRY  EFIH EMFD ESRS Prepared by: Mayada Amin- CETA, CFTe

CBE's net foreign assets improved to a net liabilities' position of USD766.3 million in April compared to USD1.38 billion in March.   The European Bank for Reconstruction and Development (EBRD) has cut Egypt’s growth forecast for 2024 to 3.9%, down 0.6 percentage points from its September forecast. The bank highlighted FX shortages and “reform uncertainty” as factors weighing on the econ...

Market Overview  CCAP ORHD ESRS FWRY  MTIE Prepared by: Mayada Amin- CETA, CFTe

MSCI published its May 2024 Index review. TMGH replaced HRHO in Egypt’s Standard Index. HRHO is added to Egypt’s Small Cap Index, while CLHO, CIRA, HELI, TMGH, and MFPC were deleted from Egypt’s small cap index. The CBE absorbed liquidity worth EGP1.050 trillion from 32 banks within the framework of open market bids. All bid requests submitted by banks were accepted at an interest rate of 27.75%....