Trump cuts joint drills with South Korea over Iran

Good afternoon, folks, and happy Monday. Have you ever wondered what it would take to build a business entirely on trust? Today we speak with Reem Fawzy, who put Cairo’s first organized taxi fleet on the streets in 2006 and spent the years that followed building Pink Taxi — a women-only ride service where safety is the whole premise. We also have a Netflix film for tonight with one of the more original plots we’ve come across recently.

Up first, the news…

THE BIG STORY ABROAD-

🌐 Still leading the digital front pages this afternoon is US President Donald Trump saying he will scale back joint military exercises with longtime ally South Korea. Trump posted on Truth Social that he was “not happy” that the US agreed to participate. The US president made the call to the Pentagon just hours before the exercises were set to begin, citing his “very good relationship” with North Korean leader Kim Jong Un. He also pointed to South Korea’s lack of aid in the Iran war, saying they refused to help “denuclearize” the Islamic Republic. South Korea, however, has said the drills would “proceed as scheduled.”

^^Read more on: CNN, BBC, Reuters, and The Guardian.

IN OTHER NEWS- Trump’s son-in-law Jared Kushner met with Israeli Prime Minister Benjamin Netanyahu in Jerusalem today, a day after holding talks with Hamas’ leader in Egypt, as the Trump administration pushes ahead with efforts for a peace plan in Gaza. Last week, Netanyahu rejected Trump’s 15-point plan, which includes Israeli troops withdrawing and a Gaza reconstruction program under a new civilian Palestinian administration. The Israeli leader demands that Hamas surrender its arms before considering a withdrawal.

^^Read more on: BBC, Reuters, The Financial Times, The New York Times, and The Guardian.

ALSO- The US-Iran memorandum of understanding, first signed in June with a 60-day deadline to end the war on all fronts, expired today. No talks or concrete plans have been announced thus far. Shipping traffic through the Strait of Hormuz slowed to a near halt over the weekend ahead of the expiry date. Only five cargo ships passed through the waterway on Saturday, while no ships were registered to pass on Sunday, according to Reuters.

^^Read more on: CNN and CNBC.

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

• The Finance Ministry is targeting EGP 50-100 bn from its inaugural tax-backed sukuk issuance, opting for the one-year term to avoid creating a gap in future tax receipts and ensure tax revenues are not overly diluted. To incentivize corporate treasuries, the committee overseeing the rollout is studying a proposed yield of up to 20% — fully exempt from tax;
• The European Bank for Reconstruction and Development (EBRD) and the International Finance Corporation are reportedly circling a combined 10% stake in state-owned lender Banque du Caire’s upcoming float, which will wrap up in November. The tranche will be covered within a week of launch;
• E-finance says it bought an 8% stake in wealth management platform Wilzy for around EGP 100 mn (c. USD 2 mn). The move comes days after the EGX-listed fintech player announced its multi-bn-EGP takeover of MSME lender Tamweely, buying out a consortium of international investors, including the EBRD and British International Investment;
• EGX-listed Rameda’s net income rose 1.7% y-o-y to EGP 101 mn in 2Q, while revenues increased 9.4% to EGP 1.05 bn. Revenue growth was broad-based, led by a 68% jump in domestic tender sales to EGP 92 mn and a 36% increase in exports to EGP 71 mn, while private sales grew 5.3% to EGP 819 mn.

☀️ TOMORROW’S WEATHER- Cairo is looking at yet another sunny day tomorrow, with highs of 35°C and an overnight low of 25°C. Expect a breezier experience on the North Coast, with highs of 31°C and a low of 22°C, according to our favorite weather app.