Good morning, friends, and happy last day of September. We’re preparing to close out the month and 3Q and dive into the final months of 2025.

IN TODAY’S ISSUE- We lead the news well with debt news — we have returned to the international debt market with a USD 2 bn sovereign sukuk issuance. And in the lead up to this week’s interest rate meeting at the CBE, we spoke to a dozen economists and banking experts to get their predictions — most penciled in a 100-200 bps rate cut, citing cooling inflation.

ALSO- The localization push is once again making headlines after the Industry Ministry unveiled an even longer list of priority industries it wants to localize, bringing the total figure to 28.

BEFORE WE DIVE IN- We have a long weekend ahead: Prime Minister Moustafa Madbouly announced Thursday, 9 October as a holiday for the public sector in observance of Armed Forces Day. We’ll be on the lookout for similar statements from the Labor Ministry, EGX, and central bank.

PSA-

WEATHER- The capital is in for a high of 33°C and a low of 22°C today, according to our favorite weather app.

It’s a little cooler in Alexandria, with a high of 30°C and a low of 21°C.

WATCH THIS SPACE-

#1- El Khatib talks reforms with IMF team: Investment Minister Hassan El Khatib met yesterday with two representatives from the IMF to review Egypt’s ongoing financial and trade reforms, according to a statement. El Khatib highlighted the latest efforts taken by the state to boost investment and trade.

REMEMBER- An IMF mission is scheduled to land in Egypt this week to complete the fifth and sixth reviews of the country’s USD 8 bn Extended Fund Facility Arrangement.

#2- FinMin to offer plots to investors under plan to monetize unused land: The Finance Ministry will launch the first phase of its plan to utilize unused state-owned idle land in the coming weeks, offering six plots in Cairo’s Al Gamaliya area to investors, it said in a statement. Data will be made available to investors and developers ahead of the official tender to allow for due diligence.

A push to draw in private-sector capital: The ministry said the plan aims to attract private developers, real estate funds, and companies with experience in urban projects to repurpose vacant state-owned plots into “innovative” developments that create added value and jobs in surrounding communities.

#3- So, when will the state begin taxing sugar again? The move to start taxing sugar for the first time since 2016 is awaiting the greenlight from MPs, who reconvene tomorrow, a government source told EnterpriseAM. The planned levy will come in three to four progressive brackets, the source said, noting that subsidized sugar sold to ration card holders will be exempt from the tax.

REMEMBER- A government source told us in April that the Finance Ministry is planning to introduce amendments to the Value Added Tax Law that would scale back exemptions on sugar. The move is expected to help the state raise some EGP 443 mn in sugar taxes.

#4- Gov’t identifies more priority industries earmarked for localization: The Industry Ministry has identified five industries that the government is looking to localize, adding onto the list of 23 priority industries unveiled last December.

The sectors in question now include solar and wind energy components, cars and their components, industrial system software, desalination and treatment plant components, baby formula, aluminum products, electrical transformers, seamless pipes, water pumps, pharma products, polyester, soda ash, electric motors, generators, inks, electrical components, recyclable materials, central air conditioning cooling systems, elevators and escalators, sound systems and cameras, advanced robotics, green hydrogen, petrochemicals, textiles, food industries, leather products, and iron and its derivatives.

Behind the selection: “Criteria for selecting these areas of manufacturing included: the availability of energy; the average monthly wages of workers, technicians and engineers; the availability of raw materials and factories in Egypt; access to production technologies necessary for each industry; local demand as well as Egypt’s geographical advantage for distribution,” the Industry Ministry said in its statement.

#5- A new EU-backed fund to support NGOs: The Madbouly government yesterday launched the Civil Society Support Fund. Backed by the EU’s Equal Opportunities and Social Development project, the fund is designed to strengthen the ability of civil society organizations to respond to evolving community needs and support sustainable development.

DIPLOMACY-

Arab, Islamic FMs back Trump’s Gaza peace plan: Foreign ministers from Egypt, Jordan, the UAE, Indonesia, Pakistan, Turkey, Saudi Arabia, and Qatar issued a joint statement yesterday welcoming US President Donald Trump’s proposal to end the war in Gaza. The ministers said they “assert their confidence in his ability to find a path to peace” and underscored the importance of partnership with Washington in advancing regional stability. The FMs expressed their readiness to work with the US to finalize the agreement and ensure its implementation.

What’s in the plan? The 20-point plan — which secured Israeli backing last night — calls for an immediate ceasefire, a swap of hostages for Palestinian prisoners, a staged Israeli withdrawal, and Hamas’ disarmament. It envisions Gaza run by a technocratic Palestinian committee backed by a “Board of Peace” chaired by Trump. Hamas is yet to respond to the proposal.

SUKUK WATCH-

Weekly sukuk roundup: The yield to maturity on our sovereign sukuk eased to 8.07% last Friday, down from 8.27% the week before, according to the weekly report (pdf) on Egypt’s sovereign sukuk performance. The country’s sovereign sukuk prices rose slightly to USD 101.14, compared to USD 101.12 a week earlier.

HAPPENING TODAY-

#1- We’re on the lookout for Korean investment and economic cooperation news today as Egypt and South Korea mark 30 years of diplomatic relations with the Egypt-South Korea Business Forum. Bilateral investment, trade, green energy, and education cooperation are expected to top the agenda.

#2- It’s day two of Egypt Innovation Week, the country-wide “week-long celebration [that] brings together entrepreneurs, investors, educators, and government leaders to spark collaboration and drive real impact,” according to the event organizers. The series of events and forums runs until 6 October.

It’s also the last day of the event’s Techne Summit Cairo, which is expected to bring together tens of thousands of innovators from over 70 countries and some big names in the local, regional, and global startup scene as speakers.

HAPPENING TOMORROW-

#1- The House will officially be back in session tomorrow: The House of Representatives will convene tomorrow to open the sixth session of the second legislative term, according to a directive from President Abdel Fattah El Sisi published in the Official Gazette.

#2- Attention executives, the application deadline for the Onsi Sawiris School of Business’ Executive MBA program is tomorrow. The program offers senior executives, entrepreneurs, and professionals the chance to hone their leadership skills, learn how to drive real strategic change in their organizations, and gain a new global perspective on business. The 20-month program tailored for working professionals is set to kick off in mid-October.

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THE BIG STORY ABROAD-

The foreign press is leading with Donald Trump’s announcement that he and Israeli Prime Minister Benjamin Netanyahu have agreed on a US-brokered peace framework for Gaza — a 20-point plan that calls for an immediate ceasefire. Trump warned Hamas that Israel would have Washington’s “full support” to destroy Hamas if it rejects the deal. (Reuters | The Guardian | Bloomberg | Financial Times | Washington Post | BBC | New York Times)

We have more on the plan and the Arab response to it in the news well, above.

ON THE CLIMATE FRONT- Leaders from climate-vulnerable nations used the UN General Assembly to blast rich countries for falling short on funding commitments, Reuters reports. Developing countries’ leaders said the USD 100 bn pledged back in 2009 came too late and that the USD 300 bn target set for 2035 is nowhere near the USD 1 tn they estimate is needed annually by the end of the decade. We suspect climate action will be a frequent guest on the foreign pages in the weeks to come with COP30 less than two weeks away.

AND IN THE COURTS- Charlie Javice, the founder of student-loan fintech Frank, was sentenced to seven years in prison for defrauding JPMorgan in its USD 175 mn acquisition of her company. The 33-year-old entrepreneur was also ordered to pay USD 288 mn in restitution and forfeit another USD 22 mn, though the judge allowed her to remain free on bail pending appeal, citing her medical condition. (Financial Times | The Guardian | CNBC | New York Times | Reuters | Axios | Associated Press)

*** It’s Going Green day — your weekly briefing of all things green in Egypt: EnterpriseAM’s green economy vertical focuses each Tuesday on the business of renewable energy and sustainable practices in Egypt, everything from solar and wind energy through to water, waste management, sustainable building practices and how you can make your business greener, whatever the sector.

In today’s issue: We look at Egypt’s green bunkering ambitions and how the country can navigate the hurdles facing green bunkering uptake.

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