Hello, and a good morning to you all. As we gear up — or slow down for most companies — for Ramadan, we’re kicking the week off with news that the central bank has officially resumed its easing cycle. The 100 bps rate cut was already anticipated, but what took us by a surprise was a 200 bps trim to the required reserve ratio.

Also catching our attention is the launch of the secondary bond and T-bill market, allowing retail investors to trade sovereign debt as easily as stocks. While over at the Finance Ministry, attention is turning to making full use of the sources of non-tax revenues that aren’t contributing as much to the public purse as you might think.

And in private sector news, Saudi Arabia seems to be the destination of choice, with both Hassan Allam’s Grova Developments and Media Republic becoming just the latest example of local players continuing to expand in the Kingdom.

BUT FIRST- We’re hiring a technology reporter: EnterpriseAM is looking for a tech reporter to own the beat across Egypt, the UAE, Saudi Arabia, and beyond.

This is a reporting job — not a desk job. You’ll be working sources, breaking stories, and writing about trendlines (not just headlines) in our voice and with the authority our readers expect. AI and digital infrastructure are huge features of the beat, but our interests are broad: fintech, telecoms, regulation, SaaS, and the bajillion ways tech is reshaping how businesses operate across the region.

We want someone who can pick up the phone or WhatsApp, get people talking, and turn what they say into stories that senior decision-makers need to read. We also expect you to attend industry events and maintain relationships with PR folks across the industry without selling out. If you’ve got 2-3 years of experience and the hunger to build a beat from the ground up, we want to hear from you. We’re also interested in hearing from veteran reporters. Spoken Arabic is strongly preferred.

The role is based in Cairo, though we’re open to remote for the right candidate. If you’re reading EnterpriseAM, you know what we’re about: a no-BS daily news outlet that tells busy execs, investors, founders, and ambitious people what they need to know about the trends shaping business, economy, finance, regulation, and public policy across our region. We write stories that have impact — about issues that matter — for a global audience of decision-makers.

Do we sound like the type of place where you want work? Send your CV and three clips to jobs@enterpriseamea.com. Also enclose a great cover letter that tells us who you are, what you do, and why you’d be a great fit for this job.

Watch this space

CAPITAL MARKETS — Retail trading of government T-bills and bonds on the secondary market officially begins today, EGX Executive Chairman Islam Azzam told EnterpriseAM. The EGX is launching its new Government Fixed-Income Trading system — with the catchy acronym G-FIT — allowing individuals to directly trade sovereign debt through licensed brokerage firms as easily as they trade stocks. Retail traders were traditionally allowed to do that only through established funds. So far, five brokerages have secured the necessary licenses to offer the service to clients.

The launch coincides with the Central Bank of Egypt’s decision on Thursday to cut its required reserve ratio from 18% to 16%, which Al Ahly Pharos’ Hany Genena said was “extremely interlinked.” This follows IMF-mandated quantitative targets (ceilings) on government lending, which meant that the CBE’s incremental funding to the state has nearly stopped — dropping roughly 95% in 2025, Genena said.

Why this matters: By cutting the reserve requirement, the CBE is releasing liquidity back into the banking system, specifically so banks can absorb the government debt the CBE can no longer fund. Opening G-FIT is the second step, aimed at tapping into “excess funds in pockets” and rotating it out of bank CDs and into the formal debt market.

The release of “bns of EGP” back into the banking system will also help compensate for falling bank profits from Thursday’s cut in the overnight lending rate, former Industrial Development Bank Chairman Maged Fahmy told EnterpriseAM, with short-term deposits in particular facing stuff competition from short-term T-bills in light of less severe penalties for selling before maturity. However, Fahmy added that overall, this will only result in a “limited” withdrawal of bank deposits, but banks may be driven to offer more competitive rates to keep customers from switching to T-bills with higher yields.

“The more you have live trading on bills and bonds, the more you have accurate pricing signals,” Genena told us. “If people are pessimistic about inflation, you’ll find the yields required are very high; if they are happy, the yields are very low.”

What’s next? As high-yield certificates of deposit mature, Genena expects a significant portion of that liquidity to bypass traditional bank products and flow into exchange-traded instruments. Despite the ease of buying T-bills, Genena maintains that we are in an equity bull market. With the EGX30 recently hitting historical acceleration phases, he expects returns on stocks to likely outperform fixed income over the next 12–24 months.

SOCIAL SECURITY — The gov’t is looking to welcome Ramadan with a new social protection package for 5 mn families registered with the Takaful and Karama program, a senior government official told EnterpriseAM. Support will also be given to a number of “priority” holders of ration cards in the form of goods to help keep inflation in check over the holy month, were told. President Abdel Fattah El Sisi also directed that government salaries should be paid out this week ahead of Eid Al Fitr, according to an Ittihadiya statement.

A more comprehensive social package will be introduced starting July as part of the budget for the new fiscal year, which will include increases in wages and pensions, higher allocations for state-funded medical treatment, and increased spending on education and health. The comprehensive package will also include measures to raise the total tax exemption threshold between EGP 80k-100k adjusted for inflation, and an increase in the minimum wage, according to our source.

What’s next? Prime Minister Moustafa Madbouly will announce the full details of the packages later today, we are told.

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Happening today

The central bank and International Finance cooperation are co-hosting a conference on sustainable finance today under the theme Innovating for Resilience: Financing for a Sustainable Future, according to a statement(pdf). The conference is set to bring together senior policymakers, financial institution heads, and private sector leaders to hammer out strategies for integrating climate risk into the national financial system.

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WISH THIS MORNING’S ISSUE was a podcast? We’ve got you. Tap or click here to listen to Morning Drive, a 10-minute version of today’s issue crafted for you to enjoy with your morning coffee, while getting the kids ready for school, or while stomping around the house wondering where the [redacted] you left your [redacted] reading glasses.
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PSA-

WEATHER- You’ve got another excuse to wear one of your summer outfits in Cairo today, with a high of 29°C and a low of 17°C, according to our favorite weather app.

The sun is also out in Alexandria, with a high of 28°C and a low of 16°C.

The big story abroad

US and Europe are still BFFs, Rubio insists: US Secretary of State Marco Rubio said that Washington seeks to preserve a close alliance with Europe in a speech at the Munich Security Conference. Rubio called for a “reinvigorated” partnership with a continent with which it shares “a sacred inheritance, an unbreakable link.”

There was a mixed reaction: Speaking after Rubio, European Commission President Ursula von der Leyen emphasized that, while the transatlantic partnership should not be weakened, Europe must become more independent. Other European diplomats balked at Rubio’s comments, and some highlighted his lack of attention to Russia or Ukraine.

Europe remains spooked by US President Donald Trump’s ambitions to seize control of Greenland, which has drawn the ire of Denmark — under whose influence the island falls.

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