Good morning, ladies and gents: Before we get started, a quick programming note…

We’re taking a publication holiday tomorrow (Thursday, 22 November) to allow our team to work ahead on a couple of new projects — and to get a bit of extra shuteye. EnterpriseAM, EnterprisePM, Enterprise Climate, and Enterprise Logistics will all be off, but our Weekend Edition will appear as usual on Friday morning. We’ll be back to our customary schedule on Sunday. Happy Thanksgiving to all of our readers celebrating.

WATCH THIS SPACE-

We’re hoping for news today and tomorrow of additional Gulf investment in Egypt, particularly in manufacturing, real estate, and tourism, as the EGY-GCC Business Forum kicks off today. The gathering, which wraps tomorrow, is expected to be well-attended by Gulf and Egyptian business leaders.

Saudi investors have over 150 Egyptian projects to pick and choose from: The Madbouly government showcased over 150 investment ideas to Saudi investors yesterday during the Saudi-Egyptian Business Council, head of the Trade Ministry’s Commercial Representation Authority Yehia El Wathek Bellah told Al Arabiya (watch, runtime: 4:49). Saudi Minister of Commerce Majid Al Qasabi had a bullish outlook on future business and trade between the two countries as obstacles facing Saudi investors are being addressed, he said in an interview with Al Arabiya yesterday.

It’s already been a pretty good week on that front: Units of Saudi Arabia’s Fawaz Abdulaziz Alhokair Company (Alhokair) could invest as much as USD 1.5 bn in Egypt next year. Meanwhile, Al Lami Holding Group and Batterjee are eyeing separate investments worth more than a combined USD 555 mn in our tourism, real estate, and pharma sectors.

SMART POLICY-

#1-e-KYC coming next year? The Central Bank of Egypt (CBE) plans to roll out e-KYC, or an electronic know-your-customer process, deputy assistant governor of the CBE Ehab Nasr told Asharq Business, without mentioning a timeframe. However, Al Mal reports that the system should be in place by 3Q 2024.

It’s huge news for banks and other players in the financial services industry who are desperate to move away from wet signatures. A switch to e-KYC allows current and potential customers to verify their identities online — getting low-value transactions out of branches (if you’re the bank) and saving you the hassle of driving to, parking, and queuing at the branch (if you’re the customer).

Remember: The central bank in 2020 introduced streamlined light KYC regulations that paved the way for banks to use an agent to onboard customers using only each individual’s national ID.

#2- An app for opening bank accounts remotely? The CBE also plans to launch a new mobile app next year that will allow users to open bank accounts online from anywhere in the world, according to another report from Asharq Business, citing who it says to be a government official. The app will be managed by the Digital Financial Identity Company (DFIC), the source added. The CBE is helping set up DFIC with EGP 275 mn in capital, or a 55% stake, according to the bank’s FY 2022-23 financials (pdf).

The CBE is making strides on the digital inclusion front: The bank in March 2022 launched its digital payment platform InstaPay after issuing regulations for the instant payment network (IPN) back in 2021. The app — which provides instant payments between Egyptian banks, Meeza cards, and mobile wallets — has seen its user base grow 82% over the past eight months to over 4 mn users.

Uhm, can we be greedy and ask for more? If we can speak on behalf of our friends in the banking community to our friends at the CBE: It would be most awesome if we could move to digital record storage, too, rather than requiring banks to store hard copies of records.

HELP GAZA-

Want to support relief efforts in Gaza, but don’t know how? We’ve got you. More than 1 mn people in Gaza have been thrown from their homes and every human being there lacks access to food, water, and fuel amid the most intense bombardment any population has endured this century.

The folks at Talabat are processing donations for a range of Gaza relief appeals by charities including the Egyptian Food Bank and Misr El Kheir. Pay in EGP using your credit card.

Or check out our list of charities to which you can make direct donations via bank deposit and / or Fawry.

HAPPENING TODAY-

#1- Shoukry & Co. head to London and Paris: Foreign Minister Sameh Shoukry and the rest of the delegation of Arab and Islamic officials are heading to the UK and France today to press officials to back a ceasefire on Gaza, according to Turkish media. The delegation is visiting the five permanent members of the UN Security Council in a bid to build momentum for a ceasefire, and has so far visited Beijing and Moscow. We have more on yesterday’s talks with Russian officials in this morning’s War Watch, below.

#2- MERIS may be getting some competition: Today is the last chance to apply for a credit rating license from the FRA after it loosened requirements last year.

#3- It’s the last day of payment and fintech conference Pafix today as part of Cairo ICT2023at the Egypt International Exhibition Centre in New Cairo.

HAPPENING TOMORROW-

#1- The Bahrainis are in town: A Bahraini government delegation will land in Cairo tomorrow to kick off the Egyptian-Bahraini Government Committee’s first session. Finance Minister Mohamed Maait and his Bahraini counterpart Salman Bin Khalifa Al Khalifa are set to discuss trade, economic, scientific, and technological cooperation, according to the Finance Ministry readout yesterday

#2- Even more Saudi real estate investment incoming? Tomorrow’s Saudi Egyptian Real Estate Investment Conference in Riyadh with industry insiders and government policy makers from both countries will focus on opening up Saudi investment potential in Egypt and utilizing our real estate know-how, according to a statement picked up by Zawya.

#3- Education, Education, Education: The Worldview Education Fair is kicking offon Friday with representatives for 20 universities and business schools looking for bright and eager students to enroll.

THE BIG STORIES ABROAD-

#1-Dominating the global news agenda this morning: The Israeli government has agreed a hostage swap pact with Hamas that will see a four-day pause in the fighting, at least 50 Israeli hostages released, and 150 Palestinian detained freed. We have the full story in this morning’s War Watch below. (Associated Press | Reuters | Bloomberg | Financial Times | New York Times | Washington Post | Wall Street Journal | BBC)

#2- This morning in corporate crime: The CEO of the world’s largest crypto exchange pleads guilty to money laundering:Binance CEO Changpeng Zhao (known as CZ in the crypto world) has stepped down and pleaded guilty to breaching anti-money laundering laws in the US in what was described by prosecutors as one of the heftiest corporate penalties in US history, according to statements from the US Treasury and Justice Department yesterday. The company has agreed to pay a USD 4.3 bn settlement to the government, and completely exit the US.

The charges: Binance failed to report over 100k suspicious transactions with organizations including Hamas, Al Qaeda, and ISIS. The crypto platform also failed to report transactions with websites selling child abuse content and was one of the biggest recipients of spoils from hackers using ransomware.

Another crypto king dethroned: FTX founder Sam Bankman-Fried is now looking at up to 115 years in prison after being found guilty of seven counts of criminal fraud earlier this month, including stealing from customers on his platform.

Zhao will likely serve no more than 18 months in prison as part of a plea agreement, despite facing a sentence of up to 10 years.

The news is the big story in the business press this morning:Reuters | Bloomberg | Financial Times | CNBC | Wall Street Journal.

#3- OpenAI board is buckling under pressure to bring back Altman: OpenAI’s board is in talks with Sam Altman to bring the highly-popular ex-CEO back to the company, just days after deciding to fire him, Bloomberg and The Washington Post reported the news, citing sources they say are familiar with the matter. Nearly all of the company’s 700 employees have reportedly threatened to leave if Altman is not reinstated.

HAPPENING SOON

#1- Will they, won’t they? OPEC+ oil production cuts edition: OPEC+ member states are meeting on Sunday to discuss how the cartel of oil-producing nations will respond to falling oil prices and how new economic realities could further stifle demand. The bloc’s production cuts are expected to be prolonged to at least the group’s meeting and there’s also talk of an additional 1 mn barrels per day cut, according to industry insider chatter picked up by the Financial Times.

#2- COP28 is only a week away: The countdown to COP28 has begun as global leaders in climate, policy, and business prepare for 13 days of intense negotiations in Dubai to save our planet from climate catastrophe running from 30 November to 12 December. The conference will embark on wrapping up its first Global Stocktake (GST) of the progress (or lack thereof) we have collectively made since 2015’s landmark Paris Climate Accords where we agreed to limit global warming to well below 2 degrees Celsius. Expect to see Egypt pushing its landmark “just financing” policy that it unveiled at last year’s conference in Sharm El Sheikh.

MARKET WATCH-

Fed looks set to hold rates as they are, but is still erring on the side of caution: The Federal Reserve showed “little urgency” for another rate hike according to minutes from an official meeting this week cited in the Financial Times. Officials were keen to emphasize, however, that future rate decisions are still heavily data-dependent and that policy would “remain at a restrictive stance for some time until inflation is clearly moving down sustainably towards the committee’s” 2% target.

Remember: The Fed decided to hold rates steady for the second consecutive time this month, plateauing at a 22-year high of 5.25-5.5% after an aggressive monetary tightening cycle that began in March of last year in the wake of Russia’s invasion of Ukraine.

CIRCLE YOUR CALENDAR-

The Egypt Defense Expo (EDEX) will be firing off from 4 to 7 December: Around 35k defense and security professionals from across the world will land down in Cairo next month for the biennial event at the Egypt International Exhibition Center.

Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.

*** It’s Hardhat day — your weekly briefing of all things infrastructure in Egypt: Enterprise’s industry vertical focuses each Wednesday on infrastructure, covering everything from energy, water, transportation, and urban development, as well as social infrastructure such as health and education.

In today’s issue: We take a look at how the Madbouly government is looking to the private sector next year to develop our sports infrastructure ahead of our planned Olympics bid.

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