Good morning, friends. It’s an econ-heavy morning here in Egypt with fresh inflation and foreign debt data out over the weekend. We expect things to stay busy as the House Budget Committee prepares to hold 21 meetings on next year’s state budget.

WATCH THIS SPACE-

iPhones made in Egypt? Egypt is working to get Apple to set up a factory in the country, Prime Minister Moustafa Madbouly said during a visit to the Vivo smartphone factory in Tenth of Ramadan (watch,runtime: 8:17). The government is yet to release any statements to clarify what progress has been made in persuading the world’s second largest company to open up shop here.

The American tech giant is the only major smartphone manufacturer that doesn’t produce phones in Egypt, wth Xiaomi, Vivo, Oppo, Infinix, Nokia, and Samsung having now all established factories in the country.

HAPPENING THIS WEEK-

#1- House committee to discuss next fiscal year’s budget: The House of Representatives’ Budget Committee will hold 21 meetings this week to discuss the state budget for fiscal year 2024-2025. The meetings, which kick off today and wrap up on Thursday, will focus on allocations for each ministry and other state bodies.

Remember: Finance Minister Mohamed Maait delivered his budget statement to the House last month, giving us our first proper look at the draft budget for next year. The Madbouly government sees the economy growing at a 4.2% clip in the next fiscal year and expects headline inflation to average 17.9% over the 12-month period.

What’s next? The budget should go up for a vote at the general assembly before the start of the new fiscal year on 1 July. If the budget doesn’t pass before 30 June, the current budget rolls forward to direct state spending until the new document is passed.

#2-The IFC’s Africa VP is in town: International Finance Corporation (IFC) Vice President for Africa Sérgio Pimenta is in Cairo today and tomorrow to meet with senior figures in the public and private sectors and other development organizations to identify ways to support the state’s privatization program, the IFC said in a statement.

Remember: The IFC was tasked with giving “technical assistance and advisory support” on the state’s privatization program in an agreement inked last year. The two have been assessing an additional 50 state-owned companies to include in the privatization program to determine which sectors would be more attractive and lucrative.

We should be in line for some announcements: Pimenta is expected to sign several agreements supporting key sectors including finance, fintech, and healthcare, according to the statement.

#3- The Senate is back in session and tax incentives are on the agenda: The Senate reconvenes today and tomorrow and will discuss a report on the role of tax and fiscal policies in attracting foreign investment to Egypt

The pitch: The report proposes that the country should be “offering greater tax incentives to attract local and foreign investors to strategic and promising sectors like the fintech sector and help the private sector build partnerships that support economic development and raise growth rates.”

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PSA-

Uber introduces audio recording feature as an additional safety measure: Uber Egypt has added a feature to its app that will allow customers and drivers to record the audio during trips, according to a statement (pdf) from the ride-hailing giant. The encrypted audio file will be stored on the rider or driver’s phone and will only be accessible by Uber following a safety report.

WEATHER- Keep your sunnies at hand. We’re in for another sunny day in the Capital today, with a high of 29°C and a low of 17°C, according to our favorite weather app.

It’s a little cooler in Alexandria, with a high of 24°C and a low of 16°C.

CIRCLE YOUR CALENDAR-

Egyptian, Jordanian businessmen to meet next month: Egypt and Jordan will hold a joint forum for businessmen in June to encourage trade and cooperation between the two countries’ private sectors, a cabinet statement said after the Joint Egyptian-Jordanian Higher Committee met on Thursday.

*** We’ve got the rundown of all the important agreements to come out of the meeting in the news well below.

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

ATTENTION, EGYPT INVESTORS-

Foreign investors are falling in love with Egypt again… Foreign investors we speak with (debt, equity, and strategic alike) have a growing appetite for Egypt. They’re buying into local debt, eyeing promising shares, and committing bns of USD to both new ventures here and the growth of their existing businesses. They like the Egypt story that’s taking shape after the float of the EGP, and its competitive advantages are clear to many of them: It’s a massive consumer opportunity and a regional export hub of tomorrow.

The Enterprise Optimism Forum 2024 will do exactly what it says on the tin: Spark conversations about a future that we think is much brighter than so many in our community feel right now. Think of it as much-needed shock therapy combined with an early, actionable roadmap for those of us who are “long Egypt.”

We’ll be talking with you about the agenda over the coming couple of weeks. It features speakers from Egypt and abroad who are future-proofing their businesses and angling to capture tomorrow’s opportunities — and who aren’t afraid to answer some tough questions.

*** Interested in attending? Tap or click here to let us know. Seating is limited.

WAR WATCH-

Israel orders more evacuations: Israel yesterday ordered Palestinians to evacuate more areas in Gaza’s southern city of Rafah, forcing tens of thousands more people to clear out as it gears up to expand its military operation there. The Israeli military also said it would return to northern Gaza’s Jabalia area where it says Hamas has regrouped to seize control of the area. Over 80k people left Rafah last week, according to UNRWA. (Bloomberg | Reuters).

Cairo ices out Israel: Egypt has refused to coordinate with Israel over the Rafah crossing due to “Israel’s unacceptable escalation,” Al Qahera News reported yesterday, citing what it says is a senior Egyptian official (watch, runtime: 0:38).

MEANWHILE- UN General Assembly votes in favor of Palestinian membership: The UN General Assembly on Friday voted by a wide margin on a draft resolution to upgrade Palestine’s rights and recommended that the UN Security Council reconsider Palestine’s request for full UN membership “favorably.”

THE BIG STORY ABROAD-

IN BUSINESS- The United States is about to slap a tariff of up to 100% on Chinese electric vehicles in a bid to protect its domestic EV industry from subsidized competition. The Biden administration will announce the move on Tuesday, the Financial Times reports this morning.

“All we do is complain while China advances,” writes Kevin Williams in Inside EVs after a trip to Beijing. Read: I went to China and drove a dozen electric cars. Western automakers are cooked. Need more background on what’s going on in the global EV market? Check out last Thursday’s Big Story Abroad here.

AND- UAE Foreign Minister Sheikh Abdullah bin Zayed swatted away Israeli claims that the UAE would be part of a post-conflict administration for Gaza, writing late Saturday night in a post on X that Netanyahu “does not have any legal capacity to take this step. The UAE refuses to be drawn into any plan aimed at providing cover for Israel’s presence in the Gaza Strip.”

IN TECH- OpenAI isn’t launching ChatGPT-5 or search engine, but will unveil on Monday “some new stuff we think people will love. Feels like magic to me,” CEO Sam Altman wrote on X. Reuters had earlier reported the AI company was launching a search engine to rival Google.

Google, meanwhile, will kick off its Google I/O conference tomorrow morning. Expect plenty of talk about (not around — about) AI.

AND- Apple is still in talks with OpenAI and Google to put their chatbots on the iPhone, Bloomberg reports.

ENTERPRISE IS LOOKING FOR SMART, TALENTED PEOPLE of all backgrounds to help us build some very cool new things. Enterprise — the essential morning read on all the important news shaping business and the economy in Egypt and the region — is looking for writers, reporters and editors to help us build out new publications.

NEVER WORKED IN A NEWSROOM BEFORE? We have the Enterprise Business Writing Development Program. Whether you are a recent graduate, an industry vet, or looking to switch careers, the Enterprise Business Writing Development Program will give you the tools you need to tell the most important stories to our audience of C-suite officials, government ministers, diplomats, financiers, investors and entrepreneurs.

Not an internship program — a career: The three-month program will see full-time, paid participants take part in workshops and lectures from veteran business journalists on subject matter knowledge, while also working on constructing and filing Enterprise stories that will run on any of our publications. Those who have successfully completed the program, will then be given long-term job offers.

Apply directly to jobs@enterprisemea.com and mention “writing development program” in your subject line.

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