Al Ahly Pharos

Egypt’s natural gas imports from Israel have dropped 19% to 650 million cfd on Monday after Chevron Corp. was instructed by Israeli energy ministry to shut down the Tamar natural gas field. The Egyptian parliament’s Transport Committee approved a draft bill allowing Egypt’s Transport Ministry to hand AD Ports a USD200 million 30-year concession to build, manage, operate, and maintain a multipurpos...

Market Overview  COMI ETEL JUFO ESRS Prepared by:Mayada Amin- CETA, CFTe

The government is set to announce measures to curb food price inflation today. House committees signed off on key bills: the second round of the expat car import scheme, the decision to allow Abu Dhabi Ports to develop Safaga Port, and the cut to income tax proposed by the President last month.  New rules announced by the Financial Regulatory Authority are making it easier for EGX-listed companies...

Market Overview 

Pitch: We published this morning our earnings expectations for companies under coverage in 3Q23/FY23. CBE released balance of payments data for FY2022/23.  Moody’s downgraded Egypt’s credit rating from B3 to Caa1, changing the outlook from negative to stable. Egypt needs to move forward with another currency devaluation or it will “bleed” reserves, IMF Managing Director said. CAPMAS is expected to...

Market Overview  EKHOA ETEL ADIB EXPA SWDY Prepared by: Mayada Amin - CETA, CFTe

Market Overview  Prepared by: Mayada Amin - CETA, CFTe

Morgan Stanley has downgraded Egypt's Sovereign credit from "neutral" to "dislike" on concerns about financing gap and high uncertainty. The House Budget Committee will discuss two draft bills that would raise the income tax exemption threshold and double exceptional stimulus payments to public-sector workers and pensioners. The changes were among a list of measures announ...

Market Overview  SWDY HRHO ETEL ESRS Prepared by: Mayada Amin- CETA, CFTe

The government plans to implement some structural reforms in FY2023/24, including amending law no.3/2005 regulating M&As, announcing the tax policy for the next five years, and preparing a unified vision for start-ups, preventing conflict of jurisdictions between different entities. Egypt will likely have to spend USD29.2 billion on debt repayments in 2024, USD10 billion higher than our estima...

Market Overview  Prepared by: Mayada Amin - CETA, CFTe

The central banks of the United Arab Emirates and Egypt agreed Thursday to a currency exchange deal.  The Egyptian and Chinese central banks discussed a potential swap line during talks in Beijing last week, the CBE said Wednesday. Global index provider FTSE Russell said on Thursday it will add Pakistan and Egypt to watch lists for possible demotion in its equity index suites.  The President annou...

Market Overview  Prepared by: Mayada Amin - CETA, CFTe

*Key news articles for today* A number of recent agreements with Gulf and local investors had a positive response from the IMF. Egypt has bought new hedging contracts to protect itself from rising oil prices, Finance Minister said. The derivatives will remain in place until the end of the current fiscal year in June. Press said that contracts lock in crude purchases at around USD 75-80 per barrel....

Market Overview 

The National Elections Authority (NEA) announced the timetable for the upcoming presidential election, confirming that the voting process will start as early as the first of December. Egypt seeks to increase the Asian Infrastructure Investment Bank (AIIB) investments portfolio in Egypt to USD2.3 billion up from the current USD1.3 billion. The government, represented by the General Authority for In...

ADIB EKHOA SWDY ESRS SUGR QNBA prepared by: Mayada Amin - CETA,  CFTe

The government aims to raise USD5 billion during October 2023 to June 2024 through divestment from Bank of Alexandria and Vodafone, among other divestment plans including electricity and water desalination plants. JP Morgan will review Egypt’s eligibility for its Government Bond Index-Emerging Markets (GBI-EM) series over the next three to six months, with the country’s sovereign bonds remaining i...

Market Overview  ADIB COMI EFIH prepared by: Mayada Amin - CETA, CFTe

The CBE decided to keep interest rates unchanged at 19.25% and 20.25% for overnight deposit and overnight lending rates, respectively, citing a slight decline in core inflation and a moderation of real GDP growth. Egypt is in talks with an Abu Dhabi-based bank for a loan facility that would finance wheat purchases from Kazakhstan, as a cheap alternative to grain from Russia. The Asian Internationa...

Market overview  COMI QNBA PHDC EFIH ORAS Prepared by: Mayada Amin - CETA., CFTe

The Federal Reserve held interest rates steady in a targeted range between 5.25%-5.5%, while also indicating it still expects one more hike before the end of the year and fewer cuts than previously indicated next year. Cabinet gave the go-ahead to the emergency social support measures aimed at alleviating the impact of the economic crisis on vulnerable households. Ministers approved handing the Eg...

Market Overview  Prepared by: Mayada Amin- CFTe, CETA

The OPEC Fund for International Development (OPEC Fund) is providing Egypt USD10 mn to finance imports of vital food and agricultural commodities. The loan is part of a USD200 mn trade finance facility with the International Islamic Trade Finance Corporation (ITFC) supporting food security in Egypt. Global growth will slow to 2.7% in 2024 from an expected 3.0% this year on the back of tightening g...

Market Overview  Prepared by: Mayada Amin - CETA, CFTe