Good afternoon, friends, and happy almost-Friday.

THE BIG STORY TODAY

Fitch revises up our growth outlook for the next fiscal year: Fitch Solutions’ research unit BMI now sees growth accelerating to 5.1% in FY 2025-2026, up 0.4 percent points from their previous 4.7% projection, in its latest country risk report for Egypt. The decision was supported by an expected improvement in Red Sea navigation, an uptick in the services sector on the back of calming geopolitical risks, and lower borrowing costs pushing up investment.

But it’s a forecast for the current fiscal year is not as rosy: The Fitch research unit trimmed its projection of Egypt’s economic growth by 0.5 percentage points for FY 2024-2025, and now sees the national economy growing at a 3.7% clip during the fiscal year, down from the 4.2% forecast in September. BMI attributed the cut to weaker performance in the last quarter of the fiscal year alongside the ongoing disruptions in the Red Sea that are cutting down on Suez Canal receipts.

THE BIG STORY ABROAD

Foxconn stalks potential Nissan-Honda merger: The potential merger between Japanese carmakers Nissan and Honda continues to dominate headlines, as Taiwan-based Foxconn has reportedly approached Nissan for a controlling stake. Foxconn has been making waves in the EV market, which is itself a key topic in the Nissan-Honda merger talks. So far, no official agreements have been inked. (Financial Times | Wall Street Journal | Bloomberg)

Russia arrests Moscow bombing suspect: The Russian authorities have detained a man suspected of killing senior Russian general Igor Kirillov in yesterday’s Moscow bombing. The unnamed detainee, a citizen of Uzbekistan, confessed to the attack as well as being recruited by Ukrainian intelligence, the Russian prosecution’s office said. Ukraine had previously accused Kirillov of using chemical weapons in the Russia-Ukraine war, but has not officially claimed responsibility for the attack. (New York Times | AP | The Guardian)

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

  • BP and Shell are working to turn the tap on at their Harmattan field. The Egyptian Natural Gas Holding Company has signed an agreement with global energy giants BP and Shell to invest USD 370 mn into their offshore Harmattan gas field with the aim of producing 125 mn cbf of gas daily starting 2026.
  • Eva Pharma brings locally produced insulin glargine to market for the first time in Egypt. The start of production will see Egypt become a net exporter of insulin glargine, with Eva Pharma’s annual production capacity of 80 mn doses expected to move Egypt from importing 6 mn doses annually to exporting 74 mn doses.
  • Fresh details about Korra Energi’s planned IPO have begun emerging. The energy solutions firm plans to offer up to a 20% stake on the EGX in 1h 2025. There’s still no word on how much they’re hoping to raise in the offering.

☀️ TOMORROW’S WEATHER- More chilly temperatures ahead this week in the capital, with tomorrow’s mercury expected to reach the last week’s high of 22°C, but a new low of 14°C at night, according to our favourite weather app.

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