THIS EVENING: EU package valued at EUR 7.4 bn could be heading our way

Good afternoon, folks, and happy almost-Thursday. We can’t seem to feel the Ramadan slowdown, can you?

So, when do we eat? Maghrib prayers are at 6:02 pm in the capital, and you’ll have until 4:39 am tomorrow to hydrate and caffeinate ahead of fajr.

THE BIG STORY TODAY

EUR 7.4 bn aid package from the EU on its way? The EU is preparing a EUR 7.4 bn package of grants and loans for Egypt as it looks to prop up the country’s economy and stave off immigration from Gaza and Sudan into Europe, the Financial Times reports. The two sides aim to ink the agreement on Sunday when a delegation of EU officials — including European Commission President Ursula von der Leyen and the Greek, Belgian, and Italian prime ministers — visits Cairo.

The facility is at least 35% bigger than we expected: Finance Minister Mohamed Maait earlier this week reportedly said that the country was in line for USD 5-6 bn (EUR 4.6-5.5 bn) in financing from the EU.

The timeline: The package — due through to the end of 2027 — includes EUR 1 bn in emergency financial assistance that could be provided right away. Another EUR 4 bn in macro-financial support is contingent on reforms under the country’s expanded IMF program and would require the approval of EU member states. The remainder would come from multiple EU sources.

ICYMI- Egypt is in line for more funding: We could receive a total of USD 20 bn in foreign support, including our expanded USD 8 bn IMF program alongside an anticipated USD 3bn in financing from the World Bank and additional funding from Japan, the UK, and the IMF’s Resilience and Sustainability Facility.

THE BIG STORY ABROAD

The Trump versus Biden rematch is dominating headlines in the international press this afternoon. As was broadly expected, both US President Joe Biden and former president Donald Trump earned their parties’ nominations for the US general election, resulting in the first presidential rematch since 1956. Biden’s popularity is running low right now, and Trump has been polled as the preferred candidate in many of the “battleground” states of Pennsylvania, Michigan, Wisconsin, Georgia, Arizona, Nevada, and possibly North Carolina. Biden had been the favorite in these states in 2020 with North Carolina being the only narrow victory. The POTUS will have to regain voter confidence, with disapproval mainly stemming from his hand in Israel’s war on Gaza and many protesting his campaign with an “uncommitted” vote. (Washington Post | Associated Press)

** CATCH UP QUICK on the top stories from today’s EnterpriseAM:

• Half of the state’s privatization program proceeds to go into reducing public debt:The government will use 50% of the money generated through its privatization program as well as the country’s primary surplus to service and reduce outstanding debt in the upcoming fiscal year.
• FX in. FX out. Markets continue to adjust to the new post-float norm, with foreign currency entering the country’s official channels, remittances rising, and more banks easing their FX limits.
• Moody’s has upgraded the long-term deposit ratings outlook of five local banksto positive from negative.

HELP GAZA-

Want to support relief efforts in Gaza, but don’t know how? We’ve got you. Nearly 2 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.

☀️ TOMORROW’S WEATHER- Expect a partly cloudy day with a high of 26°C during the day and a low of 13°C at night, according to our favorite weather app.