Banking and Finance Egypt central bank bucks trends, keeps interest rates unchanged The Central Bank of Egypt (CBE), bucking analyst expectations, left its overnight interest rates unchanged on Thursday, saying it believed inflation was under control over the medium term. The bank also raised the reserve ratio to 18 percent from 14 percent, saying that this would help tighten liquidity. The bank’s Monetary Policy Committee (MPC) kept […] September 23, 2022
Tech Big-name tech businesses choose Egypt as place to outsource The Information Technology Industry Development Agency (ITIDA) has recorded a rise in the number of business services and IT jobs offshored to Egypt. At least 19 global services providers and leading tech companies have announced their expansion plans in the country and four new market entrants established their offices and research and development centres during […] September 20, 2022
Energy Egypt in talks with Maersk for $15bn ‘green’ energy project Egypt’s President Abdel Fattah Al-Sisi has directed the government to cooperate with Danish shipping major Maersk Group to establish an integrated network to produce and distribute green energy and clean fuels for ships, according to local media reports. Maersk chief executive Soren Skou discussed with the president setting up a project to produce clean fuel […] September 20, 2022
Tech Apple to hike App Store prices in Egypt Apple Inc. announced increasing prices of apps and in-app purchases on its App Store in several countries, the Cupertino-based firm said in a blog post. The countries include Egypt, Japan, Malaysia, Pakistan, Poland, South Korea, Sweden, Vietnam, and all territories that use the euro currency. The new prices, excluding auto-renewable subscriptions, will be effective as […] September 20, 2022
Economy Egypt’s sovereign fund says 44 projects worth $7.3bn under study Sovereign Fund of Egypt is currently studying 44 projects worth EGP 140 billion ($7.34 billion) in seven sectors, the Egypt Times newspaper reported, citing the fund’s executive director Ayman Soliman. The fund last year signed binding agreements for 10 projects worth EGP 25.5 billion ($1.34 billion), he said. The investments are in utilities and infrastructure, […] September 19, 2022
Banking and Finance Egypt’s Suez Canal to increase transit fees by up to 15% in 2023 Egypt will increase fees for ships passing through the Suez Canal by 15 percent in 2023, Suez Canal Authority (SCA) chairman Osama Rabie said. Transit fees for bulk and tourist ships will be raised by 10 percent. He said that the increased fees for passing the canal are “inevitable and a necessity” to deal with […] September 18, 2022
Economy Egypt to establish company to process VAT refunds to foreigners The Egyptian Cabinet has approved the proposal of the Ministry of Finance to establish an Egyptian joint stock company to set up a value-added tax (VAT) refund system, Egypt Today reported. Global Blue Egypt Company will be a joint venture between Global Blue Public Limited and Global Blue Holland Private Limited. The company will implement […] September 16, 2022
Retail Gulf investor among consortium buying 33% of Egyptian Domty A consortium has acquired about 33 percent of Arabian Food Industries Co.(Domty) in a tender offer worth about EGP512 million ($26.5 million), Expedition Investments, a special purpose investment vehicle, told Reuters on Wednesday. The deal was priced at EGP5.50 per share, up from EGP5.00 at the beginning of the tender offer, after a fairness opinion […] September 15, 2022
Banking and Finance Egypt issues warnings against dealing in virtual currencies Egypt’s central bank has reiterated its warning against dealing with cryptocurrencies through regional or global platforms, a local media outlet reported. The Central Bank of Egypt said that virtual currencies are not issued by the central bank or any official authority; therefore, they are not deemed legal tender, the newspaper said, citing a bank statement. […] September 14, 2022
Energy Europe to help fund Egypt’s transition from gas to wind power The European Bank for Reconstruction and Development (EBRD) will help finance the decommissioning of 5GW of inefficient gas-fired power plants in Egypt from 2023 while pledging up to $1 billion for renewables, its regional director said on Sunday. EBRD would raise up to $300 million in sovereign financing for projects including work to stabilise Egypt’s […] September 12, 2022
Banking and Finance France’s Credit Agricole buys majority stake in Egypt subsidiary Crédit Agricole has bought a majority stake in its Egyptian subsidiary Crédit Agricole Egypt, the Egyptian bank said on Thursday. The French bank bought 60 million additional shares, increasing its total shareholding in the Egyptian bank to 52.185 percent from 47.385 percent. The bank did not disclose the price. “This bears witness to the confidence […] September 9, 2022
Banking and Finance Egypt faces currency conundrum as it seeks IMF’s financial support As Egypt pushes for a new International Monetary Fund (IMF) loan it has a choice between letting its overvalued currency weaken gradually and the kind of sharp depreciation it enacted in a similar currency crisis six years ago, with both options carrying risks, economists say. A severe shortage of foreign currency in Egypt over the […] September 8, 2022
Economy Egypt non-oil activity continues to shrink, with weak outlook Non-oil private sector activity in Egypt shrank for the 21st month running in August, and businesses took a bleak view of the year ahead amid concerns over the currency, Ukraine and import bottlenecks, a survey showed on Monday. The S&P Global Egypt Purchasing Managers’ Index (PMI) improved to 47.6 from July’s 46.4, but remained below […] September 5, 2022
Energy Egypt aims to export electricity to Europe via Greece Egyptian President Abdel Fattah Al-Sisi discussed joint cooperation with the Greek energy and infrastructure firm Copelouzos Group to establish clean energy production and transmission projects to serve Egypt, Greece, African and European continents, Egypt Today reported. The cooperation consolidates Egypt’s position as a regional hub for energy trade, said Bassam Rady, official spokesperson for the Presidency […] September 4, 2022
Banking and Finance Egypt introduces measures to help clear backed up ports Egypt’s finance ministry has put in place a package of measures to clear a backlog of goods piled up in port, a ministry statement said on Tuesday. A severe shortage of foreign currency in Egypt over the last six months has sent banks and importers scrambling to pay for the letters of credit needed to […] August 31, 2022
Energy South Korea in $2.2bn deal with Russia for Egypt nuclear plant South Korea signed a $2.2 billion deal with Russia’s state-owned Rosatom to provide buildings and components for a new Egyptian nuclear plant, Bloomberg reported. Korea Hydro and Nuclear Power Co. won a contract to supply buildings, equipment and materials for Egypt’s El Dabaa project, South Korea’s energy ministry said in a statement. The state-owned Korean […] August 31, 2022
Egypt budget deficit narrow to 5.6% of GDP in 2022 Egypt expects more progress on reducing its budget deficit this year and a foresees a decline in its debt ratio after currency devaluations caused it to rise last year, Finance Minister Mohamed Maait told a news conference on Monday. The deficit was expected to narrow to 5.6 percent of gross domestic product (GDP) in the […] August 30, 2022
Banking and Finance Egypt plans to issue $500m bonds in Chinese yuan Egypt is looking forward to issuing bonds in Chinese yuan worth more than $500 million, Egypt Today newspaper reported, citing Minister of Finance Mohamed Maait. The minister said that the country was ready to issue sovereign sukuks of $1.5 billion to $2 billion, adding that the international markets were not suitable at present in terms […] August 30, 2022
Manufacturing Egypt set to begin pilot operations of world’s ‘largest’ spinning mill Egypt will start the pilot operation of a new spinning factory, dubbed “the world’s largest factory” by the government, in 2023, Ahram online news website reported, citing a statement by the Ministry of Public Business Sector. The factory, owned by the state-owned Masr Spinning and Weaving Company, is constructed over 64,000 square metres in the […] August 29, 2022
Banking and Finance Currency tops list of challenges for Egypt’s central bank governor Egypt’s new central bank governor, Hassan Abdalla, faces a daunting task as he tries to repair an economy derailed by an overvalued currency, rampant inflation and a banking system emptied of most of its foreign currency. President Abdel-Fattah Al-Sisi chose Abdalla for the position last week after outgoing governor Tarek Amer resigned suddenly, barely a […] August 29, 2022