Al Ahly Pharos

Market Overview  Prepared by: Mohamed  Othman- CETA, CFTe

The EGX is in serious talks with five or six private sector companies to list on the bourse. Egyptian shares suffered their biggest single-day loss since early July yesterday amid growing investor concerns about global growth. Egypt wants to generate USD8.5-10 bn in natural gas revenues in FY 2022-23, up from USD6.5 bn last year. Prime Minister yesterday signed off on amendments to the executive r...

Market Overview  Prepared by: Mohamed Othman- CETA, CFTe

Remittances from Egyptians abroad fell 15% y-o-y and m-o-m in July to USD2.38 bn, from USD 2.8 bn. Egypt wants to attract USD7.7-8 bn in foreign investment into the oil and gas sector in the current fiscal year. Fees for most vessels crossing the Suez Canal will rise 15% starting 1 January 2023, except for dry bulk ships and cruise ships which will witness a 10% hike instead. The expected increase...

Market Overview  Prepared by: Mohamed Othman- CETA, CFTe

SFE and QIA signed one of three MoUs between Egypt and Qatar during President El Sisi’s visit to Doha. The two countries also signed an agreement to cooperate on ports and social affairs. The Ministry of Transport is looking into 35 affiliated companies for potential listing on EGX. Abu Dhabi Ports acquired 70% of two Egyptian logistics companies, “Transmar” and “Transcargo International” (TCI), a...

Market Overview  Prepared by: Mohamed Othman - CETA, CFTe

US stocks suffered the worst day since June 2020 yesterday after August inflation data with concerns that Fed could go even larger and hike by a full 100 bps. Five major GCC funds are willing to participate in a financing package exceeding USD10 billion to contribute to the financing of the climate change "Nofi" program.  Prime Minister Moustafa Madbouly followed up on more than USD 1 bn...

Market Overview  Prepared by: Mohamed Othman - CETA, CFTe

El Sisi lands in Qatar today to talk investment in his first visit since we normalized relations in early 2021.  Egypt Sovereign Fund is currently working on preparing government companies for initial public offerings, with values ranging between USD5.5-6.0 billion, with USD2.5-3.0 billion to be announced within 4 weeks.  The government has started preparations for the economic conference that El-...

Market Overview  Prepared by: Mohamed Othman- CETA, CFTe

EBRD will provide USD1.3 billion in financing to Egypt to promote its green transformation strategy, which aims to get rid of old power plants and contribute to new wind and solar energy projects.   Egypt intends to sign two contracts for green hydrogen production projects with GCC and foreign entities, with investments of USD5 billion.  The government aims to increase tourism revenues to USD30 bi...

Market Overview  Prepared by; Mohamed Othman- CETA, CFTe

Core inflation climbed 16.7% from a year earlier, up from 15.6% in July. The European Central Bank raised interest rates by a historic 75 basis points — and its head hinted there could be more jumbo rate hikes to come.  Suez Canal revenues hit an all-time high of USD 744.8 mn in August (+32% YoY. Tonnage increased 16% YoY to 127.8 mn tons. Suez Canal Authority intends to list subsidiaries on the E...

Market Overview  Prepared by: Mohamed Othman- CETA, CFTe

NIR declined slightly to USD33.141 billion at the end of August, compared to USD33.143 billion in July. EGP slipped to 19.31 against the USD yesterday from 19.29. The Customs Authority has raised the USD customs exchange rate to EGP 19.31 from EGP 18.65 in June, effective today. The European Bank for Reconstruction and Development (EBRD) is ready to provide as much as USD 1.3 bn in funding to supp...

Market Overview  Prepared by: Mayada Amin - CETA, CFTe

Planning Minister Hala El Said confirmed to Bloomberg that the government backs exchange-rate flexibility, which will bode well for the economy. The Sovereign Fund of Egypt has set up a pre-IPO arm to bring strategic investors onboard ahead of plans to list state-owned firms. Prime Minister: The government will offer new tax breaks for high value industries. Prime Minister: The state isn’t about t...

- MARKET OVERVIEW  - Prepared by: Mayada Amin- CETA, CFTe

Qatar Investment Authority is negotiating purchasing up to a 25% stake in Vodafone Egypt, out of ETEL’s c.45% stake in Vodafone Egypt. Potential transaction valuation post capital gains tax is EGP5.50-10.30/ETEL share.  COMI will raise its capital to EGP 29.82 bn from EGP 19.85 bn, through a rights issue. The bank would issue 1 bn shares at EGP 10 to be financed from general reserves for the perio...

- Market Overview - COMI - AUTO - ESRS - SWDY - FWRY - MNHD - EGTS - SKPC - Prepared by: Mayada Amin- CETA, CFTe

Egypt’s PMI climbed from 46.4 in July to 47.6 in August, its highest reading since February. The latest rise in input costs was much softer than in July, supporting a slower uplift in output prices that should ease the burden on consumers over the coming months. Subsequently, new orders decreased at the softest rate since April, leading to a slower, but still sharp fall in output levels. Employmen...

- Market Overview - COMI - ABUK - EKHO - SKPC - ISPH - MNHD - PHDC - Prepared by: Mayada Amin - CETA, CFTe

Blending History with Current Times| In light of what is happening today, which stocks have high potential to outperform, and did actually outperform in 2016? COMI, HRHO, ADIB, CIEB, ORHD, HELI, MNHD, ORWE, SWDY, EKHO, ECAP, EAST, EFID Some 19 strategic industries involved in national projects will pay zero real estate taxes for the next three years.  The Central Bank of Egypt and Trade and Indust...

- Market Overview - Prepared by: Mayada Amin- CETA, CFTe