Good morning, all, and welcome to the last month of the year. We have a busy issue to kick off the month and we don’t expect things to calm down as the week unfolds, with a mission from the IMF landing in town shortly for the fifth and sixth reviews of our USD 8 bn program. We dive into what we can expect from the mission’s two-week visit and the indicators giving us hope that the Fund will greenlight the reviews later this month in the news well.

ALSO IN TODAY’S ISSUE- We interview CI Capital’s Amr Helal to discuss what it will take to revive Egypt’s capital markets.

PSA-

WEATHER- It’s another cool day in Cairo, with a high of 23°C and a low of 14°C, according to our favorite weather app.

It’s just as cool in Alexandria, with a high of 22°C and a low of 14°C.

ICYMI- Missed this week’s Inside Industry? In our weekly vertical exploring all things industry and manufacturing, we looked at the country’s iron and steel industry, what problems have burrowed themselves within, their root causes, and how they might be addressed. Check out the story here.

WATCH THIS SPACE-

#1- The second package of tax facilities under the spotlight: President Abdel Fattah El Sisi met with Prime Minister Moustafa Madbouly and Finance Minister Ahmed Kouchouk to discuss the details of the long-awaited second package of tax facilities, according to an Ittihadiya statement. During the meeting, El Sisi directed authorities to launch the package, emphasizing the importance of continuing to develop the tax system.

Package two of four: The package is part of a four-package tax strategy — the first package came with the aim of building trust between taxpayers and the tax authority and the second to incentivize tax compliance.

The details: The new package targets compliant taxpayers with incentives, simplified procedures, and digital tools to encourage voluntary compliance and boost business liquidity and competitiveness.

What else can we expect from the second package of tax facilities? The new package is primarily focused on resolving issues experienced by the tax community when it comes to following the VAT Law by introducing new facilities and removing hurdles facing businesses. Last month, we spoke with Deputy Finance Minister for Taxes Sherif Al Kilani to learn more about the facilities — check out the interview here.

#2- Gourmet is targeting a 1Q 2026 window for a potential IPO on the EGX, Hazem Barakat, co-founder and chairman of B Investments — which holds a 53% stake in the high-end supermarket chain — told Cairo Weekend’s Zeina Soufan (watch, runtime: 13:54). The private equity owner, once said to be choosing between a full exit and upping its stake in Gourmet, is now exploring a public share sale by early next year amid better market conditions, Barakat said, noting that no final decisions have yet been made.

Barakat also addressed last year’s near-exit attempt, saying B Investments came very close to divesting Gourmet to an unnamed foreign buyer. The process stalled as the buyer’s global strategy shifted, he said, adding that the delay ultimately worked in their favor with Gourmet’s 2024 results seeing 30-40% y-o-y growth, strengthening the case for a public listing.

ICYMI- There’s another layer to the story: Gourmet founder and owner of the remaining 47% stake Jalal Abu Ghazaleh reportedly tapped EFG Hermes last year to manage the sale of a stake in the high-quality food emporium, though the plan never materialized.

#3- The government is weighing a proposal to establish a global debtors coalition that would allow debt-laden countries to coordinate positions, exchange expertise, and jointly address restructuring and debt-management challenges, government sources told EnterpriseAM. The concept — still in early study — would require a clear institutional framework and could complement Egypt’s broader strategy to convert portions of sovereign debt into investment projects, a model Cairo has already deployed at scale and plans to expand over the coming years.

NEWS TRIGGERS-

It’s the first day of December — here are the key news triggers to keep your eyes on this month:

  • Brace yourselves for a slew of IMF-related news, with an IMF delegation touching down in Egypt today for a nearly two-week trip to discuss — and hopefully greenlight — the combined fifth and sixth reviews of our USD 8 bn Extended Fund Facility program. Want to know more? We’ve got the inside scoop ahead of their visit in the newswell below.
  • Non-oil private sector activity to break its eight-month streak in the red? S&P Global will release PMI figures measuring non-oil private sector activity for November on Wednesday. Last month’s report came with encouraging news, with the index edging up to 49.2, 0.8 points short of the 50.0 threshold that separates growth from contraction.
  • The business community and policymakers will have their eyes on November’s inflation figures, which are expected to be released on 10 December. The country’s last monthly reading showed annual headline urban inflation rising by 0.8 percentage points to 12.5%, largely on the back of higher fuel and food and beverage prices. Most analysts see inflation continuing to accelerate at a moderate pace throughout the rest of 2025, before falling again in 2026.
  • One last interest rate cut in 2025? The central bank’s Monetary Policy Committee will meet on 25 December for its last meeting of the year to decide on whether to extend the easing cycle that kicked off in April. The committee kept rates unchanged in its November meeting following an uptick in inflation, but most analysts seem to agree that it will decide to cut rates from 100-200 bps this time round.

FROM THE DEBT MARKETS-

CBE to hold USD t-bill auction: The Central Bank of Egypt will auction off USD 950 mn worth of one-year USD-denominated treasury bills with the submission deadline penciled in for 11am today. The treasuries will likely refinance USD 980.5 mn of USD-denominated one-year t-bills at an average yield of 4.50% due to mature tomorrow.

HAPPENING TODAY-

#1- The Egypt Business Solutions Summit kicks off today at InterContinental Citystars. The one-day event — held under the theme From Local to Global — will bring together business leaders, SMEs, and innovators for discussions on expanding beyond borders, with sessions covering leadership, export planning, international branding, and investor readiness.

#2- It’s day one of the Egypt Defence Expo (EDEX) at the Egypt International Exhibition Center. The event, which is running until Thursday, will showcase the latest land, sea, and air defense technologies. The event is expected to bring together over 40k visitors to check out the 450 exhibiting companies.

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THE BIG STORY ABROAD-

It’s a quiet Monday morning in the global business press, with no single story dominating the headlines. Among those receiving attention:

#1- Israeli Prime Minister Benjamin Netanyahu has formally requested a presidential pardon from President Isaac Herzog in his ongoing corruption trial, citing the “public interest” in ending the case. In his letter to the president, Netanyahu said the trial has become a source of “deep public division” and that ending it would help restore national unity. The move marks a reversal for Netanyahu, who has long denied the charges and vowed to prove his innocence. Herzog confirmed receiving the request and said it would be reviewed carefully. (CNN | Associated Press | Reuters | Guardian)

#2- Pope Leo arrived in Beirut yesterday for a three-day visit aiming to promote peace and unity in Lebanon, following an Israeli strike on southern Beirut that killed five people. During his first foreign trip since his election in May, the pontiff is scheduled to meet political and religious leaders, celebrate mass on the Beirut waterfront, and visit the site of the 2020 port explosion. (CNN | Washington Post | Reuters | Guardian)

*** 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 look at the government’s plans to convert 1.6k public technical schools into internationally linked institutions.

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