Good morning, friends. Welcome to the first day of both a new week and month. September looks set to be off to a busy start when it comes to local business and economy news, with the Central Bank set to decide on interest rates, a hotly awaited health check for non-oil private sector, high-level trade delegations touching down in Egypt, and more all happening just this week.

WATCH THIS SPACE-

#1- Banque Misr and NBE reportedly set for managerial shake up as El Etreby and Okasha swap positions: Banque Misr CEO Mohamed El Etreby is expected to become the next CEO of the National Bank of Egypt in a swap that will see current NBE president Hisham Okasha take El Etreby’s place at Banque Misr, according to a banking sector source that spoke to Enterprise. The move will also see former tourism minister and CIB CEO for retail banking Ahmed Issa appointed vice president of Banque Misr and former EBRD Vice President and CFO Soha El Turky join the NBE as vice president, according to our source.

#2- Food security concerns: President Abdel Fattah El Sisi reportedly gave the order for last month’s huge wheat buy following concerns over the country’s food security, Reuters reports citing three unnamed government sources. An intelligence briefing raised concerns over our food security in light of escalating regional tension.

Another layer to the story: The government will continue to capitalize on lower commodity prices as long as it has the space to store the imported quantities, Prime Minister Moustafa Madbouly said during his weekly presser last week, adding that we currently have a six-month supply of strategic wheat reserves.

ICYMI- State grains buyer GASC last month purchased 280k tons of wheat in a tender that aimed to secure some 3.8 mn tons, locking in just c. 7% of its target. The tender was launched to capitalize on a dip in wheat prices, seeking to procure nearly a third of the country’s yearly requirement of the grain.

#3- An energy corridor between Cyprus and Egypt? An energy corridor connecting Egypt and Cyprus that would carry natural gas and renewable energy was discussed by Oil Minister Karim Badawi and his Cypriot counterpart Giorgos Papanastasiou. The two sides discussed sending Cypriot natural gas to Egypt to be liquified and exported as LNG to global markets.

HAPPENING TODAY-

Our new digital platform for industrial investment launches today: The Trade and Industry Ministry has launched a new online platform showcasing industrial investment offerings in partnership with state-owned fintech player E-finance, the ministry announced in a statement yesterday. The new digital platform allows potential investors to view a map of possible investment plots, submit applications and other necessary documents, and check the status of their applications. The ministry plans to add additional features in the future, including an electronic vault for documents and 24-hour technical support.

The platform is off to a quick start: The platform’s first offering — slated to run from 1-8 September — will include 1.1k plots of land for industrial developments spanning 8.5 mn square meters across 14 governorates. Results will be announced two weeks after applications close, according to the statement.

HAPPENING THIS WEEK-

#1- Could we finally see non-oil private sector back in growth territory? S&P Global will publish Egypt’s PMI figures for August on Tuesday measuring the country’s non-oil private sector activity. Last month saw business activity hit its second highest level since August 2021.

Also releasing PMI data on Tuesday: Saudi Arabia, Kuwait, and Qatar. The UAE and Lebanon will follow on Wednesday, 5 September.

#2- It’s interest rate week: The Central Bank of Egypt’s Monetary Policy Committee is meeting this Thursday to review rates. The bank left interest rates unchanged during its last meeting in July citing its commitment to sustaining the current trajectory of inflation moderation.

Remember: The committee delivered a jumbo 600 bps rate hike following a surprise monetary policy meeting in March, which coincided with the float of the EGP and the securing of an expanded package from the IMF. The CBE has left interest rates unchanged since and most analysts expect the central bank to keep rates steady for now and begin cutting rates in late 2024 or early 2025.

#3- More Indian investments incoming? Representatives from ten Indian tech companies — operating in the fintech, banking solutions, medical services, consulting, and data analysis sectors — will be landing in Cairo tomorrow for a three-day visit where they will meet Egyptian officials to look into future cooperation, Al Mal reports. During their time here, they will also participate in the Seamless North Africa event.

#4- Explore the future of digital commerce tomorrow at Seamless North Africa. The two-day event will be held at the Egypt International Exhibition Center from 2-3 September under the theme The Future of Digital Commerce Across North Africa. The event brings together mechants, enterprises, and SMEs in the e-commerce space as well as players in the fintech, banking, and retail sectors “to drive forward the future of digital commerce.” Take a look at the schedule here and register to attend here.

#5- The US-Egypt Joint Economic Committee will be convening on 4-5 September in Washington to talk all things partnership between the two countries’ private sectors, boosting trade, bilateral investment, and following up on the outcomes of the first meeting of the committee.

RED SEA WATCH-

Salvage crews to begin towing ablaze tanker following oil spill fears: Tugboats will begin towing an oil tanker carrying 1mn barrels of crude oil that was struck by Yemen’s Houthis last month, Reuters reports, citing Houthi Foreign Minister Jamel Amer. The armed group greenlit the salvage operation last Wednesday over fears that the damaged tanker could leak 150k tons of crude oil into the Red Sea.

But don’t take the Houthis greenlighting the salvage operation as a sign they’re changing their approach: The group announced an attack yesterday on the MV Groton container vessel crossing the Gulf of Aden for the second time, Reuters reports. The UK Maritime Trade Operations reported that two missiles had struck near the ship on Friday and that no damage to the ship or injuries to the crew were reported.

CIRCLE YOUR CALENDAR-

Kouchouk to speak at AmCham next week: Finance Minister Ahmed Kouchouk will be speaking at the American Chamber of Commerce’s monthly luncheon on Tuesday, 10 September from 1-4 pm at Cairo’s Nile Ritz Carlton. Register to attend here.

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

PSA-

WEATHER- The weather is continuing to cool in Cairo today as we say goodbye to the year’s hottest months, with a high of 34°C and a low of 25°C, according to our favorite weather app.

It’s much the same story in Alexandria and along the North Coast, with a high of 32°C and a low of 23°C.

** DID YOU KNOW that we now cover Saudi Arabia and the UAE?

** Were you forwarded this email? Tap or click here to get your own copy delivered every weekday before 7am Cairo time — without charge.

THE BIG STORY ABROAD-

As is often the case on Sundays, there’s no one story dominating the (digital) front pages of the int’l business press, with the press’ obligatory updates on the seemingly never-ending US presidential election competing for space with tech oligarch Musk’s feud with the Brazilian government and depressingly familiar reports of horrors from Israel’s nearly year-old war on Gaza.

OVER IN US ELECTION NEWS- Things are looking increasingly up for the Democrats post-Biden, with Democratic presidential hopeful Kamala Harris has gained an edge of around 2 percentage points on Republican candidate Donald Trump among likely voters in seven key US swing states, according to a Bloomberg News/Morning Consult poll. Harris is tied with or beating Trump in all seven states and has virtually erased the lead Trump enjoyed over Joe Biden prior to ending his bid for the Democratic Party’s nomination. Meanwhile, a new Reuters/Ipsos poll has found Harris leading Trump among registered voters nationwide by a margin of 4 percentage points, up from the 1 percentage point lead registered by the polling agency in late July.

Despite Harris’ overall bump in polls, the Democratic candidate is facing a stepped-uppressure campaign from pro-Palestinian activists following a televised interview Thursday in which the presidential nominee reiterated that she would not cut military aid to Israel if elected president. Activists have pledged to disrupt Harris campaign events in the coming weeks.

WHILE IN TECH NEWS- X goes dark in Brazil as feud with Musk escalates: Elon Musk’s social media company X saw mass service disruption yesterday in Brazil after Musk’s refusal to appoint a legal representative for the company’s operations in Brazil led the country’s Supreme Court to issue an order for X’s suspension late Friday. While supporters of the left-wing government’s drive to make social media companies more accountable for online content applauded the court’s move, right-wing politicians blasted the decision as an attack on conservative politicians, many of whom communicate with their supporters on social media. (Bloomberg | The Associated Press | Reuters)

AND IN OUR CORNER OF THE WORLD- Around 2k medical and community workers are set to begin carrying out a polio vaccination campaign in Gaza that will see some 640k children targeted for vaccination during daily eight-hour pauses in hostilities across the enclave. The campaign comes after the World Health Organization confirmed that a two-year-old had been paralyzed by the poliovirus, the first case of the disease recorded in Gaza in 25 years. At least 90% of children will need to be vaccinated twice over the coming four weeks in order for the campaign to be successful, according to WHO officials — a tall order given the destruction that Israel has wreaked upon the enclave.

Israeli forces killed at least 48 people in Gaza during the hours before the campaign commenced, with fighting ongoing in central and southern Gaza in the early hours Sunday. Meanwhile, Israeli forces pushed forward with their assault on the West Bank city of Jenin, with Israeli attacks reportedly killing at least 18 Palestinians in one of the largest Israeli operations in the West Bank in months.

Tags: