We’re only four days into 2024, but the year is already shaping up to be a busy one for business and economy news. In today’s packed issue, we’ve got a rundown of Prime Minister Moustafa Madbouly’s presser on the economy, a sneak peek at next fiscal year’s budget, and much, much more.

So let’s jump straight into it.

THE BIG STORY on this last workday of the week…

The long weekend is finally here: Both the private and public sector have Sunday off to mark Coptic Christmas.The EGX and banks will also be taking the day off, according to a bulletin from the bourse and a statement (pdf) from the central bank.

** EnterpriseAM will also be taking a break, butwe will be back in your inbox at our customary time with all the latest business news from over the long weekend on Monday, 8 January.

HAPPENING TODAY-

S&P Global will publish Egypt’s PMI figures for December today at around 7:15am CLT. Economic headwinds and inflationary pressures kept the contraction in private-sector activity persistent in November and optimism in our private sector hit record lows.

WATCH THIS SPACE-

#1- EGP 500 bn worth of CDs are set to mature starting tomorrow: Certificates of deposit (CDs) introduced by Banque Misr and the NBE in January 2023 as part of a wider plan by the central bank to tamp down on inflation by reducing liquidity in the market reach maturity starting tomorrow. The two banks are expected to issue new high-yield CDs to coincide with the batch of CDs starting to mature, banking sources told Masrawy. Most analysts expect the banks to issue CDs with the same yield, but some expect returns to reach a fresh record-high of 27%.

#2- Central bank auctions fresh T-bills: The Central Bank of Egypt (CBE) sold USD 850 mn in one-year USD-denominated T-bills in an auction on Tuesday, according to data on its website. The bills were sold at an interest rate of 5.149%, 50 bps higher than the one-year bills sold in January 2023.

PSA #1- The universal healthcare ins. system went live in South Sinai: The Madbouly government has announced that the universal health ins. system has been in effect in South Sinai as of 1 January, according to a cabinet readout. South Sinai is now the fourth governorate to be covered by the system after Port Said, Luxor, and Ismailia.

RED SEA WATCH-

Another Houthi attack on merchant ships: The Iranian-backed Houthi group fired twomissiles on Tuesday night at merchant ships in the southern Red Sea, although no damage was reported, according to the US Central Command (CENTCOM). The UN Security Council met yesterday to discuss the situation in the Red Sea in which UN Assistant Secretary-General Khaled Khiari argued "No cause or grievance can justify continuation of these attacks against the freedom of navigation."

Hapag-Lloyd won’t be back to the Suez Canal for at least a week: Following in the footsteps of Maersk’s decision pause to Red Sea transit again on Sunday, Germany’s Hapag-Lloyd has decided to continue diverting its vessels away from the Suez Canal — a maritime route which carries around 12% of world trade — opting to use the Cape of Good Hope instead until at least 9 January, Reuters reported. The world’s fifth-largest container shipping company will review the decision in its Tuesday’s crisis committee meeting.

DATA POINT-

Our population grew 8% slower in 2023 than the year before according to a report (pdf) from state statistics agency Capmas. The national tally came in at up by 1.5 mn people 105.9 mn on the first day of 2024 — a 1.4% y-o-y jump.

** Or to put it another way: Throughout 2023, over 2 mn babies were born, meaning one baby was born on average every 15.4 seconds — or 233 babies every hour.

THE BIG STORY ABROAD-

Nearly 100 killed in bomb attack in Iran: Two explosions have killed at least 95 people and injured 211 at a ceremony for the fourth anniversary of Iranian military commander Qasem Soleimani’s assassination by the US. The death toll is still being updated, but already stands as the deadliest attack on the country since the Iranian Revolution of 1979. No group or nation has claimed responsibility for the attack, but Iranian parliamentarians have pointed the finger at Israel and Washington said that the attack was instead likely perpetrated by an Islamic State-linked group. (New York Times | Washington Post | CNN | Financial Times | Guardian | Bloomberg | Reuters | Associated Press)

MEANWHILE- Harvard president calls it quits: Harvard President Claudine Gay has resigned following allegations of plagiarism and criticisms of an insufficient response to antisemitism on campus, exposing the fractures and culture wars that the university is under mounting pressure to address. (Washington Post | New York Times | Reuters | BBC | Bloomberg)

Tags: