Analysis Economy Egypt’s investment rules need to be clearer, analysts warn Egypt has long struggled to attract foreign investors, in large part because of concerns about its investment rules. The need to allay potential investors’ fears is becoming ever urgent, as the country’s foreign currency shortage intensifies. Net foreign assets hit a record deficit of EGP837.3 billion ($27.09 billion) in June. Last month, rating agency Capital […] October 3, 2023
Finance UAE-South Africa firms to build financial hub in Egypt A consortium of UAE and South African companies will create a financial hub in Egypt’s New Administrative Capital, an upcoming economic and business district. The hub is in partnership with a consortium from the UAE and South Africa, Hossam Heiba, executive director of the General Authority for Investment and Free Zones (Gafi), said in a […] October 2, 2023
Finance FTSE places Egypt on potential demotion watch list Global index provider FTSE Russell will add Egypt and Pakistan to the watch lists for potential demotion in its equity index suites. The two countries will be on watch lists for demotion from “secondary emerging markets”, with Egypt moving to become an “unclassified market” and Pakistan getting “frontier market” status. “Market participants and index users […] September 29, 2023
Sustainability Egypt to issue new bonds to meet 2050 sustainable goals Egypt is planning to launch new bond issuances on the debt markets to support its 2050 national climate change strategy, a local news daily reported. The finance ministry intends to issue “blue and green bonds”, which are linked to environmental and water projects, as well as social and sustainable bonds related to women’s empowerment, Daily […] September 28, 2023
Oil & Gas Egypt opens bidding for new oil and gas exploration The Oil Ministry of Egypt on Monday launched an international bidding round for exploration in 23 blocks by oil and gas companies. Of the blocks on offer, 10 are in the Western Desert, seven in the Gulf of Suez, four in the Red Sea, and two in the Eastern Desert. The tenders are part of […] September 26, 2023
Retail Adnoc to expand its branded service stations across Egypt Adnoc Distribution, a subsidiary of state-owned Abu Dhabi National Oil Company, plans to open six new service stations in Egypt by the end of the year. The UAE company announced the opening of three Adnoc branded service stations on Saturday after acquiring a 50 percent stake in TotalEnergies Marketing Egypt earlier this year. The newly opened […] September 25, 2023
Economy Egypt says IMF to merge two reviews of reform program Egypt said it had agreed with the International Monetary Fund (IMF) to merge the fund’s first and second reviews of its economic reform programme, after the first review was repeatedly delayed amid questions over Egypt’s progress in meeting the IMF’s terms. The IMF in December approved a $3 billion extended fund facility loan for Egypt, […] September 24, 2023
Economy Egypt’s economic outlook darkens as IMF postpones review Egypt’s efforts to revive its economy were dealt a major setback this week after the IMF postponed its eagerly awaited September review of Egypt’s $3 billion bailout programme until the first quarter of 2024. Originally scheduled to take place in March, it would have been the IMF’s first review of the $3 billion loan it […] September 22, 2023
Finance Egypt’s central bank keeps key interest rates steady Egypt’s central bank, as widely expected, left its key overnight interest rates unchanged on Thursday, saying both economic growth and core inflation were slowing. The bank kept its lending rate at 20.25 percent and its deposit rate at 19.25 percent. The median forecast in a poll of 17 analysts had been for the bank’s monetary […] September 22, 2023
Industry Egypt signs contract to establish $1bn tyre factory Egypt has secured 1 billion euros ($1.07 billion) worth of investment to establish a tyre factory in the Suez Canal Economic Zone, the cabinet said in a statement. A contract was signed with Rolling Plus for Chemical Industries, a joint venture between Egyptian, Saudi Arabia and Cypriot companies, to establish a factory producing seven million […] September 21, 2023
Finance Egypt’s new capital developer plans IPO in 2024 Egypt is planning to float five to 10 percent of the shares of the company building its vast new capital 45 km east of Cairo by the second quarter of 2024, its chairman said on Monday. The sale on the stock exchange of shares in the Administrative Capital for Urban Development (ACUD), now owned 51 […] September 19, 2023
Economy Egypt urged to devalue pound to progress IMF talks Financial analysts have called on Egypt to devalue the country’s pound to ensure progress in negotiations with the International Monetary Fund and stabilise the economy. In a call on Wednesday, Capital Economics’ Middle East and North Africa economist, James Swanston, said that a further devaluation is “simply needed”, suggesting that the Central Bank of Egypt […] September 15, 2023
Industry Egypt approves $1bn steel production complex Egypt is to establish an integrated industrial complex to produce flat steel with investments worth $1 billion as the country aims to build up its heavy industries sector. With a production capacity of 1.8 million metric tonnes per year, the complex will target global exports and serve the local market, Egypt Today news daily reported, […] September 14, 2023
Finance Egypt’s forex reserves rise for 12 consecutive months Egypt’s foreign reserves rose to $34.92 billion in August 2023, recording an increase for 12 consecutive months. The reserves recorded a 5.4 percent increase year on year last month, Egypt Today newspaper reported, citing statistics from the central bank. The reserves stood at $34.87 billion in July, comprising the US dollar, Euro, Australian dollar, Japanese […] September 13, 2023
Giga-projects Egypt’s Talaat Moustafa to help build Saudi ‘smart city’ Egyptian real estate developer Talaat Moustafa Group said on Sunday it had signed an agreement with the Saudi National Housing Company to build a residential and commercial suburb northeast of Riyadh. The value of the deal is estimated at SAR40 billion ($10.7 billion). The community, described as a “smart city”, will include 27,750 residential units […] September 11, 2023
Finance Egypt’s inflation hits 37.4% on rising food prices Egypt’s annual urban consumer price inflation rate surged to a higher-than-expected record 37.4 percent in August from 36.5 percent in July, data from the country’s statistics agency Capmas showed on Sunday. Headline inflation in July was 36.5 percent and in June 35.7 percent, both also all-time highs. High money supply growth over the last two […] September 11, 2023
Finance UAE exports to Egypt given $100m financing boost The UAE’s exports to Egypt are set to increase after the two Arab countries signed a revolving loan facility of $100 million. Abu Dhabi Exports Office (Adex), the export-financing arm of the Abu Dhabi Fund for Development, has signed a financing agreement with the National Bank of Egypt to reinforce bilateral trade and economic relations. […] September 7, 2023
Energy Italy’s Eni commits $8bn to Egypt’s energy sector Italian oil and gas company Eni plans to invest almost $7.7 billion in Egypt over the next four years, according to Egyptian presidential spokesman Ahmad Fahmi. The announcement was made after Egypt’s President Abdel Fattah El Sisi met with Eni CEO Claudio Descalzi on Sunday. The meeting was also attended by Egypt’s minister of petroleum […] September 5, 2023
Infrastructure Contract awarded to modernise Egyptian railway A consortium of Egypt’s Orascom Construction and Paris-based Thales Group has signed a new $323.50 million contract with Egyptian National Railways to modernise the double-track railway. The track, located on the east bank of the river Nile, 115 km from the country’s capital, will link Cairo with Giza and Beni Suef. The project will be […] September 4, 2023
Finance Egypt net foreign assets deficit narrows in July Egypt’s net foreign assets deficit narrowed by EGP24.9 billion ($808 million) in July to a negative EGP812.4 billion, its first decline since March, according to central bank data. A persistent shortage of foreign currency accompanied by a sharp expansion in money supply over the last three years have squeezed Egypt’s finances. The drawdown on net […] September 4, 2023