EXPORTS-

Gov’t to increase export subsidies next FY: The Madbouly government plans to up its spending on export subsidies to EGP 28-30 bn in FY 2023-2024 from EGP 8 bn for the current fiscal year, cabinet saidyesterday.

The new export subsidy program will kick off next year: Under the new program exporters will be able to get their payment within three months of submitting the required paperwork, the statement said.

REMEMBER- The government wrapped the fifth phase of the program in December, which saw the Export Development Fund disburse some EGP 9.7 bn in overdue subsidies. The fund has paid out a total EGP 42.5 bn in subsidy arrears.

MANUFACTURING-

#1- Spanish rail manufacturer Talgo could set up a rolling stock plant in Beni Suef, after the company signed a cooperation protocol with the Transport Ministry, according to a ministry statement, which did not include Information about the size of investment or the project timeline. The factory would produce 50 passenger trains as a first phase and another 50 in a second phase. Some 45% of the production inputs are set to be sourced locally, with that quota set to increase gradually, the statement says.

#2- Vacsera, India’s Serum launch vaccine production line: State-owned vaccine maker Vacsera and India’s Serum Institute have started operations at their first production line for Hepatitis B and pentavalent (AKA five-in-one) vaccines, the Health Ministry said in a statement. The line can produce 100 mn doses each year.

More to come: The two firms aim to produce some 300 mn doses a year of various vaccines by 2040, fulfilling 60% of demand for those jabs across Africa.

INVESTMENT-

Gulf consortium signs MoU for new capital finance hub: An Emirati consortium signed an MoU with the General Authority for Freezones and Investment (GAFI) to establish a finance hub in the new administrative capital, GAFI said last week. Under the memorandum, Promax Investments and Gulf Data International will study setting up the Cairo International Financial Center (CIFC), an area of the new capital that will house financial institutions.

AUTOMOTIVE-

The government’s car import scheme has brought in USD 307 mn since its launchin November, a fraction of the Finance Ministry’s USD 2.5 bn target, the ministry said Wednesday. Some 450 cars have so far been imported through the scheme, which seeks to help the country raise much-needed FX, the statement added.

Interest picking up? Some 3k Egyptian expats applied for the scheme on the day after the government tweaked the rules to make it more attractive, the statement reads. Applicants must submit their deposits before the initiative closes on 14 May, it adds.

TECH-

Germany’s Software AG opens Egypt office: Frankfurt-listed global tech firm Software AG has opened its first office in Egypt, the company said (pdf)yesterday. The company wants to double its operations in the local market in the next three years, including by working with the government to digitize services and on tech infrastructure in new cities, the statement reads. The company already works with firms in the local market, including in the telecoms, utilities, energy, banking, and manufacturing sectors, it adds.

DEBT WATCH-

ALC planning second securitization: The National Bank of Egypt’s Al Ahly Leasing and Factoring Company (ALC) wants to tap the securitization market with an EGP 1 bn bond sale in 4Q 2023, the company’s CEO, Tarek Kandil, reportedly told Al Mal. ALC made its first securitized bond sale last March through Al Ahly Pharos.

HEALTH CARE-

Egypt received another 2 mn Pfizer covid vaccines from eight European countries last week under the GAVI / Covax initiative, the Health Ministry said yesterday.

GREEN ENERGY-

Alcazar, Madkour partner on Egypt + Africa renewables projects: The UAE’s Alcazar Energyand Egypt-based Madkour Group have inked a partnership agreement to work together on renewable energy projects in Egypt and Africa, Al Mal reports. Information about potential projects and investments wasn’t disclosed.

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