Good morning, ladies and gentlemen, and happy Friday. It’s week two of Ramadan in the capital — where did the time go?

Remember that plan you had to hydrate, stay active, and work on your well-being? Well, it’s been put into motion: Join us this week as our guide lists strategies to develop positive habits to keep you on track during Ramadan and beyond.

Enterprise Weekend comes out each Friday at 9:00am CLT. We’ll be back on Sunday at 6am with Enterprise Egypt AM. Until then: Enjoy the weekend.

LAST WEEK IN 3 MINS-

It was another week of big announcements on the heels of the float, with new fuel price hikes applied just one hour ago and two large funding packages announced by the EU and World Bank.

ECONOMY-

#1- Your fuel bill is going up: The Madbouly government raised fuel prices overnight, according to decisions published in the Official Gazette.

Prices of petrol has hiked by 8-10% at the pumps as of 8am this morning:

  • 95-Octane is EGP 13.50 per liter, up 8% from EGP 12.50;
  • 92-Octane is EGP 12.50 per liter, up 8.7% from EGP 11.50;
  • 80-Octane is EGP 11.00 per liter, up 10% from EGP 10.00.

Meanwhile, diesel prices rose by 21.2% to EGP 10.00 per liter from EGP 8.25.

The price of compressed natural gas for automobiles has risen 18% to EGP 6.50 per cubic meter, up from EGP 5.50 previously.

Finally, the price of the 12.5-kilogram butane gas cylinder jumped by 33% to EGP 100 from EGP 75.

It was quite expectedto see fuel prices go up since the float on 6 March, which the government’s fuel pricing committee cited in a statement this morning, as one of the reasons for its new decisions along with the current disruption in the Red Sea.

#2- We got a EUR 7.4 bn funding package from the EU: The EU will provide Egypt with a EUR 7.4 bn package of loans, grants, and investments through to 2027, after the country entered into a strategic and comprehensive partnership with the bloc on Sunday. European Commission President Ursula von der Leyen along with the prime ministers of Greece, Italy, Belgium, the chancellor of Austria, and the president of Cyprus arrived on Sunday to ink the agreement, which President Abdel Fattah El Sisi described as a “very important milestone in the relations between Egypt and the EU” (watch, runtime: 1:03:10).

The breakdown: EUR 5 bn will come in concessional loans to provide macro-financial assistance, EUR 1.8 bn of “additional” investments are coming under the Southern Neighborhood Economic and Investment Plan, and EUR 600 mn in grants — including EUR 200 mn for migration management. However, it still remains unclear how much of the EUR 7.4 bn will be “fresh funds” that have yet to be announced.

#3- And another USD 6 bn package from the WorldBank: The World Bank will provide Egypt with a USD 6 bn financing package over the next three years, the International Cooperation Ministry and the World Bank said in separate statements. The package is subject to the group’s board approval, which is anticipated before the end of June.

The breakdown: Half of the funding will go to the government to support its economic and structural reforms, social protection programs, and its green economy transition, while the other half will be distributed through the private sector-focussed International Finance Corporation.

#4- S&P Global Ratings became the second rating agency this month to upgrade Egypt’s outlook, raising its outlook to positive from stable, citing a significant increase in foreign direct investment and recent policy measures taken by the Central Bank of Egypt that have helped the country access a bigger package from the International Monetary Fund.

#5- Foreign investors are loving post-float Egypt: Foreign investors have poured over USD3 bn into Egypt since the central bank floated the EGP and announced a jumbo 600 bps rate, a government source told Enterprise at the beginning of this week. The number is expected to jump to USD 30 bn before the end of the year, they added.

ENERGY-

Another green hydrogen project incoming? Indian construction, engineering, and manufacturing firm Rana Group is looking to set up a USD 12 bn green hydrogen project in Egypt. Rana also wants to work with the Egyptian government to start manufacturing EVs and providing satellite services to aid the agriculture, mining, and energy sectors in Egypt as part of its plan to expand into Africa.

RETAIL-

Introducing Concrete Fashion Group: Our friends at Arafa Holding are wrapping up ademerger that will see them rebrand as Concrete Fashion Group for Commercial and Industrial Investment and spin off subsidiary GTEX Holding. The demerger has been underway since Sunday, when the EGX halted trading on Arafa Holding. Shares of the two companies will start trading on the EGX starting Sunday, 24 March.

It’s all about delivering a clearer equity story and centering the group on proven success stories: “Arafa had multiple investments, and the multiple investments had different dynamics,” newly-appointed deputy CEO Mohamed Talaat (LinkedIn, a veteran of Arafa Holding) told Enterprise, explaining that bringing them together under the umbrella of Concrete Fashion Group was the way to go.

FINANCE-

EFG Finance is getting ready to launch a new subsidiary to address a gap in market: EFG Finance, the non-bank financial services arm of EFG Holding, has obtained a license from the Financial Regulatory Authority (FRA) to set up a subsidiary for SME finance. Currently, most financing is split between large loans provided by banks as well as leasing and factoring companies and small loans offered through microfinance firms. Because of this, there is a large still unaddressed gap that the SME-regulated license can help address, Aladdin El Afifi, CEO of EFG Finance, told Enterprise. The new company is poised to launch in 2Q 2024.

WHAT’S HAPPENING NEXT WEEK-

#1- The Egyptian Drug Authority will hold a meeting on Tuesday to discuss the pharma pricing scheme following the central bank’s decision to float the EGP, head of the Federation of Egyptian Chambers of Commerce’s meds division Ali Auf told Enterprise.

#2-Gov’t to decide on a consultant for the Ras Gamila project next week: The Madbouly government has set up a ministerial committee that will select a consultant to manage, evaluate and market Sharm El Sheikh’s Ras Gamila development project, a government source told Enterprise. The committee is expected to make its choice next week.

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

AROUND THE WORLD IN SEVEN DAYS-

This week, the ongoing humanitarian crisis in Gaza has continued to catch the attention and horror of the international press, with a global food monitor’s stark warning that mass death due to starvation is now imminent in Gaza “without an immediate ceasefire and surge of food to areas cut off by fighting.”

The US calls for a vote today on a tougher UN security council resolution for “an immediate and sustained cease-fire” for a six-week period to allow humanitarian aid and protect civilians. The resolution marks the US’ toughest stance on Israel so far in the war. The move came following talks between the US and Arab countries, which saw US State Secretary Antony Blinken meeting in Cairo yesterday with President Abdel Fattah El Sisi, and the foreign ministers of Egypt, Saudi Arabia, Jordan, and Qatar, as well as the Emirati International Cooperation minister and the general secretary of the Palestinian Liberation Organization. Blinken is expected in Israel today.

And in business news, Fed signals it will stay the course on rate cuts: The US Federal Reserve left rates unchanged at 5.25-5.5% on Wednesday in line with expectations, citing solid expansion of economic activity, elevated but easing inflation, strong job gains, and low unemployment. Policymakers signaled that the central bank is still on track for rate cuts this year, with a three-quarters of a percentage point cut expected before the end of 2024. More officials are now expecting three cuts in 2024.

And in tech news, Google is talking to Apple about becoming the baked-in provider ofgenerative AI services on iPhones.

🌤️THE WEATHER THIS WEEKEND- This Friday is looking partly cloudy with a high of 22°C and a low of 16°C. We’ll be having a cloudier day on Saturday with a high of 22°C and a low of 19°C, according to our favorite weather app.

HAPPENING THIS WEEKEND-

Nurture your connection with our cultural heritage with Megawra. Their three-day Spendthe Day in Khalifa event is on its eleventh edition, taking place tonight and tomorrow on Friday and Saturday, 22-23 March, and Friday, 29 March. The event focuses on connecting space, place, and people at al-Khalifa Park and al-Khalifa Community Center.

Looking to do some good without skimping on the fun? Join Dayma in celebrating World Water Day with a clean-up followed by a delicious Iftar and some trivia. Head over to the Qursaya crossing to VeryNile headquarters on the island today from 3pm. Bring your teens along for some community building. The EGP 850 fee includes activities, food, drinks, and the ferry. Don’t forget your refillable water bottle. You can register here.

Take a step back in cinematic history at Zawya Cinema screening the beloved classic Khali Balak Min Zouzou. Tomorrow Saturday, 23 March and Sunday, 24 March, you’ll get to watch this timeless gem directed by the iconic filmmaker Hassan El Imam, promising an evening of laughter and nostalgia. Get your tickets here.

Give back to your community this Ramadan at the CLEG art gallery’s Changing Livesexhibition. In this annual charity exhibition, in collaboration with Resalet Nour Ala Nour, everyday, from 11am – 4pm until Tuesday, 9 April the gallery will be showcasing the works of 40 talented artists focusing on supporting underprivileged children’s education in Egypt through kindergartens and educational centers managed by the Resalet Nour Ala Nour NGO. Proceeds from the event will aid a special needs center, providing vital services to individuals with disabilities and fostering their integration into society.

Dive into the ancient art of Bukhoor making at Neo. Today and tomorrow, you try out this Egyptian tradition that dates back to the time of the pharaohs: Bukhoor making. From hand-picking the finest ingredients to crafting your own Bukhoor Cones. For reservations DM their Instagram page.

Skip the dessert and enjoy an evening of laughter at Majarrah with Egyptian comedianAlaa El Sheikh. Tonight you’ll have an evening of Alaa’s humor alongside delicious Ramadan delicacies, a Suhoor filled with fun and laughter. Tickets are selling out so get your tickets quick at Ticketsmarche.

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