Fawry awaits approval on inbound cross-border remittances license

Good morning, friends. After a pretty slow start to the week we have a busy issue to kick off this sunny Monday, with updates about our second IPO of the year leading the news well.

Korra Energi released its IPO prospectus last night, giving us more details about the highly-anticipated offering, which kicks off for institutional investors within hours.

Plus: Raya Holding is one step closer to exiting Ostool and Dealfuze is launching an AI platform that helps match MEA founders with international investors.

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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.***

Waiting on the nod

Homegrown fintech giant Fawry is awaiting final approval for a license to receive inbound cross-border remittances after it filed an application with the Central Bank of Egypt, CEO Ashraf Sabry said during a roundtable attended by EnterpriseAM yesterday.

Why it matters: The license would make Fawry the first non-banking financial institution to plug directly into Egypt’s expat remittances pipeline — a channel historically dominated by banks and exchange houses. Remittances hit an all-time high of USD 41.5 bn last year, and routing these inflows through digital platforms is part of the government’s broader financial inclusion push to funnel more FX into the formal financial system.

Temporary listings keep rolling in

The Egyptian Contracting Company - Mokhtar Ibrahim has started the process for a temporary EGX listing this week. The state-owned contracting firm is preparing to float a stake of up to 45% if it reaches the trading floor, the Arabic press reports, citing an unnamed government source. The company’s name has been circulating as a potential addition to the group of temporary listings since late last month.

Why it matters: Divestment progress remains a cornerstone for the ongoing IMF mission currently in Cairo. The state is pushing hard to build momentum on its asset-sale pipelines to demonstrate structural reform compliance to the Fund. An Executive Board vote is anticipated this summer, which would unlock a crucial USD 1.6 bn disbursement.

REMEMBER- The contractor’s potential entry follows the temporary listing of four other state-owned companies just last week, including Chemical Industries Development, Egyptian General Company for Tourism and Hotels, Misr Travel, and El Nasr Fertilizers and Chemical Industries. Much like those recent entries, Mokhtar Ibrahim’s temporary listing will serve as a regulatory staging step to clear out listing paperwork — allowing the government to move fast if investors show interest.

White list expands

The Finance Ministry is adding small businesses and startups to its tax and customs “white list” — a new classification that grants qualifying companies expedited customs clearance, accelerated tax refunds, and access to the customs green lane, a government official tells EnterpriseAM. Eligible businesses must be “compliant with tax regulations and enrolled under the simplified tax regime,” the source adds.

What is the white list, anyway? The white list is a roster of trusted companies with clean operational records and no history of smuggling or customs value manipulation. The government is expanding the previously limited roster to support local investments and boost corporate liquidity through perks like doubled immediate VAT refunds. The list may expand again during a potential second phase, with disbursements tied to performance-based criteria, we’re told.

Correction

In yesterday’s story on BP weighing selling off select natural gas assets in Egypt, we stated that BP’s potential divestment targets “five offshore blocks.” This was an error. BP did not specify how many assets it is considering selling — the five fields refer to the makeup of the West Nile Delta project, not the scope of the potential divestment. The story has been updated on our website.

PSA-

WEATHER- The sun is a little bit nicer to us in Cairo today, though still baking, with a high of 38°C and a low of 23°C, according to our favorite weather app.

It’s much nicer in Alexandria, with a high of 28°C and a low of 18°C.

In a market defined by geopolitical risk, inflation, currency volatility, and declining interest rates, knowing how to manage your money has never been more important, and yet few people are really good at it.

The default in Egypt has traditionally been to dollarize, buy real estate, or stash your extra cash in a high-yield certificate of deposit, but that playbook is dying.

With an illiquid real estate market, the era of ultra-high-yield deposits coming to an end, and a rapidly expanding ecosystem of digital investment options, investors are looking for new, smarter opportunities.

In this four-part series, EnterpriseAM Money Matters will walk you through smart personal finance decisions regardless of your age, income, or starting point.

Coming straight to your inbox. Stay tuned.

The big story abroad

We got a raft of business and geopolitical updates this morning. The US and Iran seem no closer to a final resolution, with President Donald Trump warning Tehran that “the clock is ticking.” Iranian media claims that Washington has demanded the removal of the nation’s uranium stockpile without proposing tangible concessions in return. A drone strike on the UAE’s Barakah nuclear power plant has heightened tensions in the region.

Meanwhile, in the world of M&A: French advertising group Publicis Groupe is acquiring data collaboration company LiveRamp in a USD 2.2 bn transaction, expanding its foothold in the AI marketing space. The move will allow the group to create proprietary data for clients and develop intelligent AI agents.

And on Wall Street: Investors are sounding the alarm over an apparent market paradox, where bullish sentiment prevails in stocks while bond yields rise sharply, leading some to believe that a drastic shift is overdue. Despite positive market sentiment over robust first-quarter earnings and AI-related developments, higher yields portend costlier corporate spending and a safe haven to draw investors away from equities.

*** 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: Egypt’s private education powerhouses deliver a rare look at the sector’s existential roadblock: a critical deficit of qualified teachers capable of running an AI-driven, 2030-ready curriculum.