Good morning, folks. Unlike the weather, local business news is continuing to heat up this week. In another packed issue of EnterpriseAM Egypt, we’ve got news that President Abdel Fattah El Sisi is in Rio for the G20 Summit, a fresh securitized bond issuance, talk of plenty more privatization announcements to come, and much, much more. Space is at a premium in today’s issue, so let’s jump right in.

PSA-

WEATHER- Temperatures are continuing to gradually creep down in Cairo today, with a high of 24°C and a low of 16°C, according to our favorite weather app.

You better get your umbrella at the ready if you’re in Alexandria, with scattered showers expected across the coast, along with a high of 23°C and a low of 15°C.

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HAPPENING THIS WEEK-

#1- President Abdel Fattah El Sisi is in Brazil for the G20 Summit set to kick off today. El Sisi touched down in Rio de Janeiro yesterday for the G20 Leaders’ Summit set to formally begin today and wrap up tomorrow, according to an Ittiyadiya statement.

On El Sisi’s agenda: During the summit, El Sisi will address the summit to highlight Egypt’s development efforts, the challenges facing developing nations as they try to achieve SDGs, and the importance of cooperation. The president will also highlight "continued Israeli escalation” in Palestine and Lebanon at the summit.

On the sidelines: El Sisi is also expected to meet with a number of world leaders on the sidelines of the summit for discussions centered around bilateral relations, sustainable development, and regional escalations.

But wait, Egypt isn’t a G20 country? The Group of 20 is made up of 19 nations, the European Union, and also the African Union as of 2023. Brazil — as the current head of the group under its rotating presidency — invited Egypt to attend G20 meetings this year as a guest nation alongside fellow guests Oman, UAE, Nigeria, and five other nations. This is the second year in a row that Egypt has been invited as a guest to the G20 — following its participation in New Delhi last year.

#2- It’s day two of Cairo ICT 2024: The International Technology Fair and Forum for the MENA region kicked off yesterday and will run until Wednesday at the Egypt International Exhibition Center under the theme The Next Wave. The event gives participants the chance to explore emerging technologies, engage with tech leaders, and take part in hands-on demos. You can register here and check out the agenda here (pdf).

WATCH THIS SPACE-

Gov’t lays out sectors targeted for privatization by the end of the fiscal year: Cabinet spokesperson Mohamed El Homsani namechecked banking, airports, pharma, plastics, glass, and petrochemicals as among the sectors sectors where we will see stakes in state-owned entities offered up by the end of June, according to a cabinet statement

The government has another 15 privatization targets up its sleeves for after the current fiscal year: In addition to the state-owned entities that the government is planning to sell stakes in by the end of the current fiscal year, there are another 15 stake offerings in the pipeline for after. Prime Minister Mostafa Madbouly urged the swift finalization of these planned offerings during the meeting of the cabinet’s Economic Ministerial Group, the statement read.

Remember: Investment Minister Hassan El Khatib is set to unveil the government’s revampedprivatization program before the end of the month, Prime Minister Moustafa Madbouly told journalists earlier this month.

IN THE HOUSE-

MPs are back in the House again today to resume discussions over draft laws that pertain to refugees, the newly amended Criminal Procedures Law, and urban development plans.

#1- Rent laws to be discussed: The House’s Housing Committee will review laws regulating rents for housing units and residential properties, especially pertaining to the fixed rent for residential properties stipulated in the so-called “old rent” law following the Supreme Constitutional Court’s ruling that the law is unconstitutional. House Speaker Hanafy Gebaly told the housing, local administration, and legislative and constitutional affairs committees yesterday to conduct an analysis of the court’s ruling and draft a new rent law accordingly.

Remember:Earlier this month, the Supreme Constitutional Court ruled the fixed rent forresidential properties stipulated in the so-called “old rent” law as unconstitutional and called on lawmakers to amend the first two articles of the law before the legislative season comes to a close. The court argued that the fixed annual rent cap set at 7% of the land and building’s value at the time of licensing showed the law’s failure to take into account inflation is unfair and denies landlords rights afforded to them under the constitution.

#2- More talk about draft refugee law, following the House’s preliminary approval yesterday: The House will continue discussing the government-drafted law that aims to establish a legal framework for refugees’ status, rights and obligations, after the law received preliminary approval yesterday. The bill proposes creating a permanent committee for refugee affairs to handle all refugee-related matters, including managing data and statistics.

#3- The Criminal Procedures Law will also be up for further discussion: The newly amended Criminal Procedures Law will be put up for a second week of discussion ahead of the final vote by the House, so as to give more political entities and people more time to voice their opinions on the law.

#4- The House will explore urban development plans: MPs will hear from Housing Minister Sherif El Sherbiny as he lays out plans to tackle urban expansion, scale up fourth-generation cities, resolve building violations, and boost housing programs.

SIGN OF THE TIMES-

Shipping giants are feeling the pinch of Red Sea disruptions: German shipping giant Hapag-Lloyd saw its net income dip 46.5% y-o-y during the first nine months of the year to record USD 1.8 bn despite transport volumes being up 4.6%, it said in its latest earnings release. “In view of lower freight rates in the first half of the year 2024 and increased transport expenses due to the rerouting of ships around the Cape of Good Hope, these results are below the prior-year level, as expected,” the company said.

ICYMI- Missed this week’s Inside Industry? In our weekly vertical exploring all things industry and manufacturing, we spoke to Beko’s Regional Director Ümit Günel for our Manufacturer of the Month column. Check out the story here.

THE BIG STORY ABROAD-

Biden agrees to Ukraine hitting Russian targets with US long-range missiles: In a change of pace from the wall-to-wall coverage of US elections, the international press is focused this morning on reports that Washington agreed to let Ukraine use long-range US missiles to hit targets “deep” in Russian territory. The approval marks a change in Washington’s policy on Kyiv and Moscow’s ongoing war, which officials and other sources quoted in several newspapers say comes on the back of North Korea sending ground troops to support Russian forces. North Korea had sent 10k elite troops to Russia’s Kursk region near Ukraine’s northern border last week to help Russia regain control of the territory. The story is getting play in the New York Times, the Washington Post, Bloomberg, Reuters, the Wall Street Journal, and the Financial Times.

IN OUR NECK OF THE WOODS- An Israeli airstrike on a building in central Beirut yesterday killed Hezbollah’s chief spokesperson, Mohammed Afif. Israel also attacked Mar Elias in the center of the Lebanese capital, killing at least two and wounding 22. Reuters and the Financial Times have coverage.

*** It’s Blackboard day: We have our weekly look at the business of education in Egypt, from pre-K through the highest reaches of higher ed.

In today’s issue: We take a deep dive into state efforts to increase tech awareness.

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