Good morning, friends, and happy FRIDAY. After a scorching week full of power cuts, we wish you a power-cut-less weekend if you’re Cairo-bound, and a relaxing stay in Sahel if you’ve joined the weekly exodus up north.
SPEAKING OF OUR POWER WOES - New measures to address pressure on our electricity network amid heatwave: Prime Minister Moustafa Madbouly announced at a presser ( watch, runtime: 24:43) yesterday a fresh package of measures to address the pressure on our electricity network amid the ongoing heatwave. The biggest measures include:
- Importing additional amounts of mazut worth USD 250-300 mn over the next few days;
- Allowing public sector employees to work remotely on Sundays effective 6 August, and Madbouly “strongly encourages” private sector companies to enforce the same policy;
- Publishing a schedule for power cuts in each area by Monday ;
- Continuing to cut power between an hour or two each day as long as temperatures exceed 35 °C ;
- More rationing of electricity consumption in public spaces and by sports facilities and government buildings;
- Setting up a crisis committee that will meet daily to follow up on the implementation of these measures.
^^ We have more on the current power crisis in Last Week in 3 Minutes , below.
☀️ THE WEATHER THIS WEEKEND- We’re not out of the woods just yet: Today is set to be a scorcher, with the sun high at 41°C today and cooling to 25°C in the evening. The mercury will cool off slightly tomorrow to 37°C in the daytime and 24°C in the PM, according to our favorite weather app.
The Egyptian Meteorological Authority paints a brighter picture, with spokesperson Manar Ghanem telling Kelma Akhira last week that windy conditions will make things feel cooler come Friday night.
If you’re looking to escape the heat entirely, scroll below to our Enterprise Guide for Egypt’s best scuba diving spots, broken down according to your skill level.
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 news flow during what was the last short workweek for a whil e kept us busy with some key macro updates, big news on the energy front and a healthy dose of M&A news.
ECONOMY-
#1- NBE + Banque Misr debuted USD saving certificates amid FX crisis: State-owned banks Banque Misr and the National Bank of Egypt launched two new USD certificates of deposit in a bid to shore up FX reserves. The two lenders are offering two three-year certificates: one with a 9% annual percentage rate that pays out interest in EGP up front and another with a 7% rate that pays out in USD quarterly. Savers will have to deposit at least USD 1k to be eligible for the certificates, which will be repaid in USD when they reach maturity.
#2- The IMF maintained Egypt’s growth outlook for the year: The IMF still expects Egypt’s economy to grow at 3.7%, down from 6.6% in 2022, based on their April forecast.
…but slashed its growth forecast for 2024 amid expectations of heightened inflation: The IMF sees the economy growing at a much slower 4.1% in 2024, below the 5.0% predicted in April, owing to the lack of exchange rate flexibility and “the shortages that have developed in the FX market in Egypt” which is hindering imports and “dampening” investor confidence. The Fund also now sees inflation averaging at 24.4% this year and rising further to 32% in 2024. The Fund had expected in its April forecast that inflation would average at 21.6% this year and slow to 18.0% in 2024, but has owed the hike to the depreciation of the currency.
#3- Egypt’s current account deficit narrowed by 40% to USD 3.5 bn in 3Q 2022-2023 due to decreasing imports, as per our calculation from CBE figures released on Wednesday. On a nine-month basis, the current deficit narrowed more than 60% to USD 5.3 bn from USD 13.6 bn in 2022.
ENERGY-
Rolling blackouts are back as the heat rises: One of the biggest stories of the week has been the start of the rolling blackouts that have spread through the nation in response to pressure on the country’s electricity network triggered by the current heatwave, which has resulted in a shortage of natural gas to fire our power plants. The Egyptian Electricity Holding Company (EEHC) said on Saturday that it will cut the power for up to an hour any time during the 20-minute window between 10 minutes before the hour and 10 minutes past.
PRIVATIZATION WATCH-
#1- CMA CGM wants a piece of NNC: S hipping giant CMA CGM is in early-stage talks with the government to acquire a stake in state-owned shipping firm National Navigation Company. The Transport Ministry and the National Bank of Egypt are both involved in the talks, according to the news outlet, an indication that the company is interested in acquiring shares owned by the state lender as well as NNC’s majority shareholder, the ministry-controlled Holding Company for Maritime and Land Transport. NNC and CMA CGM will produce valuations for the company, before presenting them to the Transport Ministry and the holding company.
#2- NPH now owns 100% of Pachin: Dubai-based National Paints Holding (NPH) acquired the 20% of EGX-listed Paint and Chemical Industries (Pachin) that it didn’t already own for EGP 9.21 mn on Monday. The company purchased 231.6k shares for EGP 39.80 apiece, giving it 100% ownership of the company.
M&A WATCH-
#1- NSPO nabbed a sizable minority stake in Taqa Arabia: The military’s National Service Projects Organization (NSPO) picked up the 20% stake in Taqa Arabia for EGP 1.6 bn through a block trade transaction on the EGX . Silverstone Capital Investments — an entity controlled by Taqa parent Qalaa Holdings — sold the shares to the NSPO, to make debt payments to one of its creditors.
#2- Two state-owned real estate developers could be merged: The government is considering merging Maadi Development and Construction and El Nasr Housing and Development ahead of selling shares to a strategic investor. Sources said that the Sovereign Fund of Egypt reportedly proposed the merger to the government, which is reportedly waiting for both companies to issue their financial statements for 2022-2023 before determining their valuations ahead of the potential merger.
WHAT’S HAPPENING NEXT WEEK-

The Central Bank of Egypt is holding its MPC meeting on Thursday, 3 August. The CBE kept rates unchanged in its June meeting, and a few analysts we spoke to earlier this month think it will stick with that decision this time around. Analysts cited uncertainty about the future of FX movements as the main reason the CBE might be reluctant to hike rates. Central bank governor Hassan Abdalla said earlier this year that additional rate hikes might not do much to slow inflation, which he said was being driven by supply-side factors. We’ll be out with our customary pre-MPC poll on Sunday.
PMI figures are out on Thursday: We’ll find out how Egypt’s non-oil private sector fared in July on Thursday, when S&P Global publishes the latest purchasing managers’ index. June’s PMI figures showed signs of potential recovery, with contraction slowing to its softest pace in almost two years on the back of what S&P Global easing inflation pressures.
Egypt is hosting another round of Palestinian talks: Heads of various Palestinian factions will convene in Cairo on Sunday for reconciliation talks. Egyptian intelligence chief Abbas Kamel met with a delegation from the Popular Front for the Liberation of Palestine on Saturday to prepare for the meeting.
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-
- Naguib Sawiris’ mocking take on the rolling blackouts on social media turned quite a few heads. ( Twitter)
- The IMF’s updated World Economic Outlook (pdf) was another popular read this week.
- Our mention of the New York Times’ article on who wears G-strings also piqued people’s interest. ( New York Times)
- Omar Shelbaya’s LinkedIn profile has been popular since he stepped in as CEO of AXA Egypt, replacing Ayman Kandeel, who has been promoted for an international role.
- The USD certificates of deposit debuted by NBE and Banque Misr also got a lot of attention. ( Statement)
AROUND THE WORLD IN SEVEN DAYS-
The escalating political crisis in Israel dominated headlines in the international press, after lawmakers voted through divisive judicial reforms proposed by Netanyahu’s coalition of far-right parties. The bill, which will increase the government’s powers over the Supreme Court, cleared the legislature after opposition parties boycotted the vote. The bill has triggered mass protests, strikes, and apparent divisions within the military.
Also getting a lot of attention in the business press: The US Federal Reserve’s move to hike rates by 25 bps on Wednesday in a bid to curb inflation, bringing rates to their highest since 2001 . The Fed also signaled there could be more hikes ahead, if “risks emerge that could impede the attainment of the committee's goals,” the Fed’s statement read.
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CIRCLE YOUR CALENDAR-

The Enterprise Finance Forum is taking place on 18-19 September at the St. Regis Hotel in Cairo. This flagship forum is the latest in our must-attend series of invitation-only, C-suite-level gatherings that allow senior members of our community to openly and frankly discuss critical issues in key sectors of the economy.
Day one is our Banking Forum, where we’ll dive deep into topics of interest to commercial and investment bankers, from an outlook on the 12 months to come in M&A, IPO, and debt capital markets to the national, regional, and global trends that are (re)shaping our industry.
Day two is all about Fintech and Non-Banking Financial Services. We’ll take a deep dive into everything from the magic of client acquisition to the prospects of consolidation and the coming of challenger banks.
** NEW: MORE NETWORKING TIME- Our agenda includes expanded networking time, including an expanded coffee break and a post-event networking room for you to interact with your peers and speak one-on-one with the team at Enterprise.
TAP OR CLICK HERE if you want to express interest in attending. We’ll be sending out the first batch of invitations soon.
Do you want to become a commercial partner? Ping a note to Moustafa Taalab, our head of commercial or fill out this form and we’ll be in touch.
HAPPENING THIS WEEKEND-
Get ready for a new edition of Shorelines musical festival , which will host local and international singing talents in its second edition at Almaza Bay, North Coast. The festival opened yesterday and will conclude today. You can book tickets from here.
Nancy Ajram and Raghab Alama are this weekend’s headliners at the New Alamein Festival. The Lebanese stars will be hitting the stage in a duo musical concert at the New Alamein city tonight. Tickets are available on Tazakarti.
Cairokee Empire returns: Cairokee is hitting the stage with two mega-concerts at New Cairo’s Manara Arena on Thursday, 27 July and Saturday, 29 July. Tickets are sold out.
NOT HAPPENING TONIGHT-
Rapper Travis Scott’s concert at the Pyramids of Giza originally set for tonight has been canceled, after much controversy and back-and-forth. Live Nation, the show’s organizer, The show was pulled for what Live Nation said were “complex production issues” that meant it couldn’t take place at the location. All tickets are set to be reimbursed.
BUT- Scott insists the show will go on: “Egypt at the pyramids will happen but due to demand and detail logistics they just need a bit a time to set lay on lands [sic],” he wrote on Twitter.
HAPPENING NEXT WEEK-
Let your ears and soul fill up with Hany Shenouda’s nostalgic music. The musician Hany Shenouda is having a concert at Cairo Jazz Club 610, Sheikh Zayed branch on Wednesday, 2 August. You can book your ticket from here.





