Who (and how much) do people tip?

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THE WEEK IN REVIEW

It’s the second week of Ramadan + is the FY 2023-2024 draft budget coming next week?

Good morning, friends, and welcome to the second week of Ramadan. Are you a “Ramadan is flying by” person or a “It is crawling at a snail’s pace” person? On most days, we’re the latter. Not helping is the flurry of privatization and M&A news…and the wait for the next Mosalsal episode.

SO, WHEN DO WE EAT? We’ll be breaking our fasts this evening at 6:14pm CLT and you’ll have until 4:20am tomorrow to hydrate and have a bite to eat.

Look for us each weekend for athree-minute guide to the week that was, and for stories to read, restaurants and movies to try, videos to watch, and podcasts to which you may want to listen on Friday and Saturday (that being the weekend for the vast majority of our readers).

Enterprise Weekend comes out each Friday at 9:00am CLT. We’ll be back on Sunday at 6am with EnterpriseAM. Until then: Enjoy the weekend.

LAST WEEK IN 3 MINS-

The week ended with a critical interest rate decision by the Central Bank of Egypt. The CBE hiked (pdf) interest rates by 200 bps amid rising inflation and continued pressure on the EGP — a decision widely expected by our pollof analysts last week. The CBE cited the rapid rise in consumer prices as the rationale behind its decision, adding that the decision aims to contain inflationary pressures” as well as “avoid secondary supply shocks” resulting from inflationary expectations.

^^ We’ll have chapter and verse on this in Sunday’s EnterpriseAM edition.

PRIVATIZATION WATCH-

#1- Bidding war for Pachin heats up: The Financial Regulatory Authority (FRA) approvedseveral new takeover bids for state-owned paint maker Paint and Chemical Industries (Pachin), from National Paints Holding (NPH) and rival bidder Eagles Chemicals. The competition heated up on Monday when Eagle Chemicals raised its offer to EGP 37.00 per share — EGP 1.00 higher than the rival bid submitted by NPH last week. Shareholders of Pachin have until market close on 12 April to decide whether to sell shares to Eagle or NPH.

Compass enters the fray? Compass Capital could also be back in the race and could potentially submit a rival offer in the “coming days,” sources reportedly tell Al Mal.

#2- The privatization program gets a major co-sign from the IFC: International Finance Corporation (IFC) Regional VP for Africa Sérgio Pimenta was in town earlier this month for talks with the government on how best the IFC can participate in the program. In an exclusive interview with Enterprise, Pimenta details the many ways the IFC can help, including as an adviser as well potentially providing financing for investors. The IFC has been actively encouraging investors to take part, he tells us, adding that he believes it will pave the way for FDI.

#3- …And a gentle nod from Morgan Stanley: Morgan Stanley analysts noted this weekthat “large-scale” privatization is the key to ending our FX liquidity crisis. The bank estimates that Egypt could bring in as much as USD 7 bn through asset sales next year bringing us to USD 23-24 bn through to the end of FY2023-24. But large-scale privatization is not going to be easy and delays could be costly, they noted, warning against any stalling in the program.

#4- We’re still trying to add more to the list of energy and petchems on sale: EGX boss Ramy El Dokany held further talks with Oil Minister Tarek El Molla on Monday, to discuss potential new listings by state energy and petrochemical firms. Oil and petchem companies feature prominently in the program, with reports indicating that six out of eight of the first state firms selling stakes expected to be energy and petchem firms.

SHAKE UPS ON THE M&A FRONT-

#1- Another GCC suitor for Palm Hills? Unnamed Saudi investors are mulling the acquisition of Arab African International Bank’s (AAIB) 12.9% stake in EGX-listed Palm Hills Developments (PHD) as the bank looks to exit the high-profile real estate developer, sources familiar with the matter told the local press on Wednesday. AAIB was looking to sell its entire stake in PHD to Emirati investment company Al Ain Holding, but we haven’t heard anything on Al Ain’s offer since.

#2- Giza Systems’ new Saudi owners are on a USD 40 mn shopping spree: Giza Systems is looking to invest up to USD 40 mn to acquire three or four companies this year in the wake of its acquisition by Saudi data firm Solutions by STC. The company is planning to allocate USD 5-10 mn to each transaction, CEO Osama Sorour is reported to have said. While the targets were not named, Sorour noted that Giza Systems will target companies that have a significant presence in the Saudi market as well as an Egypt-based workforce.

#3-SODIC pulls the curtains on Orascom for Real Estate acquisition: Real estate developers Orascom Development Egypt (ODE) and SODIC have agreed to end talks on SODIC’s bid to acquire Orascom for Real Estate (ORE). SODIC in October submitted a non-binding offer to acquire 100% of ORE for almost EGP 2.5 bn.

#4-Al Baraka Bank is eyeing undisclosed shares in Banque du Caire’s digital paymentssubsidiary Taly and has tapped Elite Consultancy House to conduct a fair value study.

WHAT’S HAPPENING NEXT WEEK-

Draft FY 2023-2024 budget makes it to the House: We should be getting a more detailed look at the FY 2023-2024 budget as the Finance Ministry should have submitted the draft FY 2023-2024 budget to the House of Representatives yesterday.

MPs should be happy as the Madbouly Cabinet approved on Wednesday a draft budget that will see more social spending. The government plans to increase its spending on social safety programs by 28%to an estimated EGP 455 bn, while also raising spending on food subsidies by 20% to EGP 108 bn and fuel subsidies by 24% to EGP 35.9 bn. The budget sees total spending increase 30.5% to EGP 2.8 tn.

The draft budget is expected to land with the House Budget Committee on Sunday. The committee will then hold discussions over the next two months before the committee issues its report, House Budget Committee chairman Fakhry El Feki told reporters on Wednesday.

Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.

YOUR MOST CLICKED LINKS-

AI is still on everyone’s minds, judging by the number of you who clicked on Bill Gates’ take on the topic. (GatesNotes)
A lot of you wanted to know more about the Nigerian last-mile delivery startup Fez Delivery in which local VC outfit Acasia Ventures invested. (Fez Delivery)
The CBE’s infographic (pdf) on Instapay’s metrics over the past year got some attention.
Cabinet’s approval of the FY 2023-2024 budget also got some clicks. (Statement)
Some LinkedIn profiles got some views, including A Developments’ Ahmed Osman (LinkedIn), EFG Hermes Research VP Ali Afifi (Linkedin), and Pasta Regina’s Kareem Abou Ghali (Linkedin).

AROUND THE WORLD IN SEVEN DAYS-

Israeli politics were everywhere in the foreign press last week, after huge protests and a general strike in opposition to the government’s controversial reforms brought much of the country to a standstill. The crisis saw Prime Minister Benjamin Netanyahu sack his defense minister, who had come out in opposition to the reforms, and later bowing to the pressure and delaying the reforms.

Also getting attention: China’s threatsto Taiwan over President Tsai Ing-wen’s unconfirmed meeting with US House Speaker Kevin McCarthy. Mainland China sees the trip as a challenge and direct blow to the “One China” mandate.

The ongoing banking crisis also got more ink: IMF Managing Director Kristalina Georgieva gave a gloomy warning of increasing financial instability following the recent banking failures in the US and Europe at a conference in Beijing. Later, First Citizens Bank’s parent company said it is taking over Silicon Valley Bank’s (SVB) deposits and loans for USD 500 mn in equity appreciation rights under an agreement with the Federal Deposit Ins. Corporation (FIDC).

☀️ THE WEATHER THIS WEEKEND- Thankfully, there are no storms this weekend. Just some sunny weather and chilly nights. The mercury rises today to 22°C, before dropping to 9°C at night. It will rise again tomorrow to 24°C, with an overnight low of 10°C.

How tipping behavior has changed in this time of crazy inflation

SURVEY- Despite the pinch in our collective pockets, we’re still tipping (even the Sayis): We need no further reminder of just how bad inflation has gotten beyond the daily trips to the supermarket, the gas station, the restaurant, etc. And with wages struggling to keep up for low income earners, tipping becomes an ever more important source of income. Many of us are happy to do what we can by tipping. But with the abrupt changes in the value of the EGP, and inflation at a five-and-a-half-year high, we were curious how our tipping habits have changed and conducted a poll to see how hard inflation has hit our better nature.

We’re tipping more, just less frequently: What we found is that there has definitely been a change in how we tip — and not all of it bad. Out of the 881 people who participated in our survey, almost half have increased the amount of money they offer per tip in recent years, though more than 70% of that group are tipping less frequently than before. We’ve gotten a clearer picture of whom people think should get tipped as well as how much people are tipping.

Who are the “must tip”: Poll takers almost universally agreed that service workers (both formal and informal) should be tipped, especially those who earn low wages, such as cleaning staff, or whose salaries factor tipping as part of their pay, such as servers.

Other unhesitatingly tipped workers are hairdressers, barbers, valets, and delivery people. Less cited but uncontested honorable mentions go to nail technicians, hotel staff, and gas station workers.

However, there are a few occupations that not everyone agrees should be mandatorily tipped, the leading ones being taxi and Uber drivers. While taxi drivers reportedly do not expect tips, it is common courtesy to round up the fare and let them keep the change.

This leads us to the poll’s least favorite baksheesh bully: The Sayis. Unsurprisingly, most poll-takers added Soyas to the list of mandatory tip receivers, but made it a point to complain about. While most survey-takers usually oblige, they are more tightfisted with how much they choose to tip, especially if they didn’t need help — which, let’s face it, is 99% of the time. While a few expressed a refusal to tip any Sayis at all on principle, those that tip gave between EGP 5 or EGP 10.

We’ve been tipping anything from EGP 5 to EGP 50 depending on the service. We break it down below, based on our poll:

Salaried service workers (think janitorial staff, indoor parking toll booth workers, nurses) receive EGP 10 to EGP 20in tips, but some particularly magnanimous patrons will tip EGP 50.
Wait staff at restaurants have the 10-15% rule, while the Wel3a guy gets a EGP 20-50 tip from shisha patrons, the amount sliding further down the scale the longer you’ve been there.
What about a tip jar? While this offers some discretion, poll takers say the usual is in the EGP 10-20 range.
Delivery people are most commonly tipped an average of EGP 10-20. Poll takers say they consider shelling out a bit more if the server has provided exceptional service.
At the supermarket: Most people tip workers at supermarkets an extra EGP 5 to EGP 10 if they help you carry your purchases to your car.

When in doubt, a twenty appears to do: While different situations call for different measures, it appears that the median amount of money to tip is EGP 20. So carry a few of those notes in your pocket, leave some in your car, or just set some aside in your wallet for your convenience for your routine trips and daily errands.

A North African staple to stun your guests for iftar + Suhoor tent Layalina is back, with two locations

IFTAR INNOVATIONS-

Fancy a rich Moroccan meal with couscous, chicken AND vegetables — topped with caramelized onions, almonds, and raisins? This recipe is a feast for all members of the family and a party pleaser if you have guests. It’s sure to impress everyone with its variety of colors, flavors and presentation.

A little bit of history: The word couscous comes from the Berber word keskas, which refers to the dish the couscous is cooked in. What we call “couscous” is actually known as smida in North Africa and refers to tiny balls of heavenly semolina flours made of durum wheat. The Berbers who introduced the meal about 2k years ago also invented the tagine, the slow cooking pot that makes the grain from scratch with wheat and water.

Couscous may be a staple across North Africa, every country — heck, every family — has its own way of preparing it. This Enterprise editor’s favorite way to do it? The Moroccan way. Read on:

Ingredients:

3 tablespoons olive oil
2 large onions, one chopped and one diced (300g)
700g chicken broth
1 liter of water
1 kilo of chicken breast cut into large cubes.
125 grams dried chickpeas soaked in cold water overnight and drained (or 250 grams canned chickpeas, drained)
100 grams of fresh coriander, diced
2 tomatoes, seeded and chopped in 2 centimeter pieces
1 large sweet potato (250 grams), peeled and cut into large chunks
300 grams turnip, peeled and cut into 3 centimeter lengths
3 carrots (300 grams), scraped and cut into 4 centimeter lengths
3 zucchinis (300 grams), peeled and cut into 4 centimeter lengths
300 grams of pumpkin, seeded and cut into large chunks
4 cups of prepackaged medium grain couscous (650g)

For the garnish:

One teaspoon of cinnamon
One onion
Half a cup of halved almonds
Half a cup of golden raisins
One teaspoon of brown sugar
1 tablespoon of ras el hanoot spice mix (which you can find at any spice shop)

Want to make your own ras el hanoot spice mix? It’s simple: Mix 1 teaspoon each of salt, ground turmeric, ground ginger and cinnamon. Add a half teaspoon of ground black pepper and a pinch of nutmeg and saffron.

Cooking time: 60 mins

Instructions:

In a large, deep cooking pot, heat the olive oil over medium heat and add the chicken.
Flip the chicken over once lightly browned and leave to cook for 5-7 minutes.
Add the chopped onions, followed by the tomato, then add spices, broth, and one liter of water.
Cover with a lid, and turn the heat to medium low. Let the pot simmer for about 45 minutes, then add the vegetables.
Start with the carrots and turnips, then after 10 minutes, add the pumpkins, potatoes and sweet potatoes. Leave the zucchinis till the end so they don’t break.
Add the fresh green coriander and turn off the heat.

For the couscous, there are two ways to do it: The easy way and the crunchy way (but the latter will take about 10 minutes more for you to make).

The easy way: Split the large pot of vegetables, chicken and sauce into two, and add the pack of couscous to one pot, giving it one stir right before you turn off the heat.
If you like your couscous crunchy, put the dried couscous into a separate pot along with two glasses of warm water, and two spoons of olive oil. Hand fluff it and put it in a large baking tray in the oven on medium heat for 15 minutes until they crisp up, and take it out of the oven as soon as it gets that golden color.

Now for the fun part: Place two separate frying pans on low heat. In a non-stick pan, fry up some halved almonds, and in the other pan, add half a spoon of butter or vegetable oil, followed with raisins, diced onion, and cinnamon. Keep stirring both.

Assembly: In a large deep serving plate, put the couscous first, then add the vegetables, chicken, and sauce. Top with the garnish.

We hope you enjoy this crowd pleaser, and don’t forget to take a photo of your dish and send it to us on editorial@enterprisemea.com.

? HOT AND FRESH OUT OF THE KITCHEN-

Tent season is upon us and Layalina is back. The outdoor, month-long affair has a venue east of the city at Royal Maxim Palace Kempinski New Cairo and another in Zed Park, sparing those of us living on either side of the city the commute. While Zed Park offers a set menu for suhoor featuring oriental favorites, Kempinski has an open buffet.

On weekends, both venues host singers for some live entertainment. You can book through the numbers on Layalina’s website or their Facebook page.

? Per person: 700-1200

? Outdoor seating: Yes

? Accessibility friendly:Yes

? FROM THE BOOKSTORE-

Margaret Atwood is back with Old Babes in the Wood: Storiesafter a lengthy hiatus from fiction. The Handmaid’s Tale author’s latest work earned a 3.96 average rating on Goodreads and is currently a national bestseller in the United States, with a NY Times review stating that if you “have only read her novels: Get your act together. You’ve been missing out.”

Atwood’s almost bone chilling skill in depicting dystopian realities is as compelling as her ability to touch on universal themes with a fresh perspective. In “Widows,” she writes about love and loss — drawing from the passing of her husband. In other stories, she places covid at center stage. And then it gets complicated. Several stories span topics including aliens, witches, and customer service agents. It’s a whirlwind of refreshing, unexpected twists to combine the supernatural with the universal.

About Atwood: The Canadian author was born in Ontario in 1939. After completing her undergraduate studies in Toronto, she earned an MA in Massachusetts’ Radcliffe College. Her decades-long career is as versatile as it is prolific: Atwood’s bibliography includes almost twenty novels, three graphic novels, eight children’s books, in addition to a play and a dozen non-fiction titles. She is also an accomplished poet, editor, and playwright. Several of her works have been adapted to the screen including hit TV shows The Handmaid’s Tale and Alias Grace.

Who’s the mole?

Trust no one: A stream of Cluedo-like guessing game shows are currently hitting streaming platforms — two versions of The Traitors have been produced byBBCandPeacock, with the US-series starring a cast of celebrities.

Netflix has its own version, The Mole, in which 12 players complete challenges while trying to identify which among them has been sabotaging their missions and draining the money pot that the last player standing takes home. We meet our players in the middle of an Australian rainforest – the mood is jovial, excited and the players are open to each other. The change comes fast as by the morning the group’s first earnings of USD 10k have disappeared. Follow the games for an addictive appreciation of fake outs, poker faces and excellently applied game theory in action.

WHERE TO STREAM IT IN EGYPT-Netflix.

The New Yorker Radio Hour is our commute go-to

Nothing makes the daily commute’s go smoother than intelligent commentary about a miscellany of the day’s hottest topics. David Remnick (LinkedIn) brings us The New Yorker Radio Hour. The Pulitzer-prize winner, whose Twitter bio warns “[quaffs] unsettling immensities of sherry,” serves up just the right balance of humor and wit.

The show features writers, editors and artists who come together to discuss a gamut of issues from the Ozempic fad taking over Hollywood (and compromising diabetics’ access to critical medication) to covid-19 all the way to an interview with Salman Rushdie, the Satanic Verses author who recently survived an assassination attempt. The episodes vary in length — from 14 to 50 minutes — but are sure to keep you entertained and informed as you drive home or cook dinner.

WHERE TO LISTEN- You can find the show on all podcast platforms, including ApplePodcastsGoogle Podcasts | Spotify | Audible.

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