FinMin raises FY 2026/27 general government budget estimate to EGP 9.7 tn

👋 Ladies and gents, we bid you a warm return to your offices — and offer a much-needed reminder that you’re in for a shorter-than-usual workweek, so hang in there. There’s a lot to catch you up on, and we’ve got it all covered below.

In today’s issue, we sit down with Ritual Coffee’s Hussein Bahgat to discuss the state of the coffee industry in 2026, recommend a restaurant for your next foodie fix, take a look at what’s been happening on the pitch, and more.

First up, as usual, the news…

THE BIG STORY TODAY-

📍 Egypt’s general government budget is projected to reach a record EGP 9.7 tn in FY 2026-27, up from EGP 8.5 tn this fiscal year, as the Finance Ministry accelerates consolidation efforts under its structural reform program with the IMF, according to a document seen by EnterpriseAM.

By incorporating all 59 economic authorities — including 19 new entities — the expanded framework targets total revenues of EGP 8.34 tn, a 4.7% primary surplus, and a narrowing of the overall deficit to 6.6%. This fiscal roadmap, which includes a shift toward competitive neutrality and a debt-to-GDP reduction target of 90%, is supported by a three-year rolling budget strategy through FY 2029-30 intended to provide long-term visibility for global and local investors.

^^ We’ll have more on this story in tomorrow’s edition of EnterpriseAM.

THE BIG STORY ABROAD-

🌐 After Washington imposed a naval blockade on Iranian ports following failed weekend negotiations, shipping data showed several Iran-linked and US-sanctioned tankers passing through the Strait of Hormuz under exemptions for non-Iranian destinations. Meanwhile, the US and Iran are set to return to Islamabad this week to resume talks. The prospect of continued talks helped stabilize oil prices below the USD 100 benchmark as the International Energy Agency predicts an oil “demand destruction.”

^^Read more on: Bloomberg, CNBC, and Reuters (here and here).

IN THE BUSINESS PRESS- JPMorgan Chase is making headlines this afternoon after beating 1Q expectations. The US bank’s net income rose 13% to USD 16.5 bn, with its fixed income trading revenue jumping 21% to almost USD 7.1 bn. The bank’s investment banking fees also came in at USD 2.9 bn, about USD 260 mn above expectations.

^^Read more on: Bloomberg, CNBC, and the Financial Times.

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

• The state budget for FY 2026-27 will aim to cut the total deficit to 4.9% of GDP. The overall deficit in the current fiscal year’s budget is expected to reach 6.1% of GDP and rise in 4Q due to the impact of the US-Israeli war on Iran;
• S&P Global affirmed Egypt’s sovereign credit rating at “B/B” with a stable outlook. The agency attributed its rating to Egypt’s higher international reserves, which climbed to USD 52.8 bn as of March;
• Annual urban inflation accelerated for the second consecutive month to 15.2% in March — beating almost all analyst estimates — as the economy absorbed the first full month of the US-Israeli war on Iran.

☀️ TOMORROW’S WEATHER- You might want to get your AC units maintained, because it seems we’re in for a particularly hot couple of days in the capital. The mercury is set to peak at 33°C, with a low of 20°C, according to our favorite weather app.