EBRD trims Egypt’s growth forecast

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What We're Tracking Today

Ramadan Kareem

Good morning, all. We hope you’re well caffeinated and ready for your first Ramadan workday.

So, when do we eat? Maghrib prayers are at 5:55pm in the capital, and you’ll have until 4:52am tomorrow to hydrate and caffeinate ahead of fajr.

REMEMBER- Ramadan hours kick in today. Banks and the EGX will move to their customary shortened Ramadan hours starting today, with trading beginning at 10am and ending at 1:30pm and banks operating from from 9:30am to 1:30pm. Shops, restaurants, and cafés will be allowed to stay open until 2am during Ramadan and Eid Al Fitr.

Egypt is on the IMF Executive Board’s calendar: The IMF is set to sign off on Egypt’s fourth review of its USD 8 bn loan program when the Fund’s Executive Board meets on Monday, March 10. Also on the agenda are Egypt’s requests to relax some timelines and other terms of the agreement, along with new funds under the Resilience and Sustainability Facility.

Remember: The IMF reached a staff level agreement with Egyptian authorities on the fourth review of its USD 8 bn loan program in December. The agreement will grant Egypt access to USD 1.2 bn — the biggest tranche of the program so far — after the Executive Board gives its stamp of approval.

PSA-

WEATHER- It’s a sunny day in Cairo, with a high of 23°C and a low of 13°C, according to our favorite weather app.

It’s more or less the same in Alexandria, with a high of 22°C and a low of 12°C.

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WATCH THIS SPACE-

Estadat Sports Investment Company is gearing up for an offering on the EGX in 2026 as it evaluates financial strategies to ensure a strong market debut, CEO Seif El Wazery told Al Borsa. The company — currently managing EGP 3 bn in business volume — has set a target to reach EGP 5 bn by the end of 2025 and to expand its City Club network to 13-15 clubs by 2026 from a current nine.

HAPPENING TODAY-

#1- EU Commissioner for the Mediterranean Dubravka Šuica is in Egypt today for high-level discussions on the New Pact for the Mediterranean and to ink a EUR 90 mn project — dubbed Egypt Food Resilience — with the government, according to a statement from the bloc. The EU official will meet with President Abdel Fattah El Sisi, Prime Minister Moustafa Madbouly, Foreign Affairs Minister Badr Abdelatty, and Planning and International Cooperation Minister Rania Al Mashat, before holding a press conference later in the day.

New Pact for the Mediterranean? The in-the-works pact is being put together by EU states and their Mediterranean neighbors in a bid to “address shared challenges, by fostering people to people relations, economic reforms, and strengthening regional security and stability.”

#2- Investors can now apply online for over 2.1k industrial land plots across 22 governorates via the Egypt Industrial Digital Platform in a 10-day offering that kicked off yesterday. In response to investor requests, the offering period has been extended to 10 days instead of a week, allowing applicants more time to complete the necessary paperwork — especially given the Ramadan schedule.

NEWS TRIGGERS-

It’s the first workday of March — and the second day of Ramadan — here are the key news triggers to keep your eyes on throughout the month:

Another month of rising foreign reserves? Net foreign reserves inched up to USD 47.3 bn in January, up USD 156 mn from December, marking a 29-month growth streak. February’s figures are set to be released by the Central Bank of Egypt within the coming days.
Non-oil private sector activity to stay in the green for the second consecutive month? Egypt’s non-oil private activity saw its strongest expansion in over four years in January, driven by solid growth in output and sales volumes. The headline PMI reading rose to 50.7 in January, up from 48.1 in December, marking the second expansion since November 2020. S&P Global is set to release February’s PMI figures on Tuesday, 4 March.
Egypt will host an emergency Gaza-focused Arab League summit on Tuesday, 4 March to develop and agree on a plan for reconstruction in a push against the Trump-proposed plan to forcibly displace 2 mn Gazans from the enclave.
Will the inflation momentum slowdown continue? Annual headline urban inflation edged down to 24.0% in January, a smaller-than-expected decrease from December’s 24.1%, marking its lowest level since December 2022. On a monthly basis, inflation climbed to 1.5%, up 1.3 percentage points. February’s inflation data is expected to be released on Monday, 10 March.

DATA POINT-

The state is set to spend some EGP 170 bn on wage and pension hikes during FY 2025-26, according to a Finance Ministry statement. The government is also set to spend some EGP 40 bn on its social protection measures between March and June, with the funds set to be allocated on measures that include increasing the budget for state-funded healthcare for low-income individuals, among others, a government source told EnterpriseAM.

REMEMBER- Finance Minister Ahmed Kouchouk shared the details of the government’s long-awaited social protection package of wage and pension hikes and support to Egypt’s most vulnerable last week. The package will see the wage for civil servants and workers at state-owned enterprises increase by no less than EGP 1.1k and the public-sector minimum wage rise by EGP 1k to EGP 7k — all of which will take effect starting July. The state will also increase pension payouts by 15% from the new fiscal year, the minister said.

THE BIG STORY ABROAD-

We could see the first phase of the Gaza ceasefire extended after Israel approved a US-brokered proposal. The agreement — pushed by Trump’s Mideast envoy Steve Witkoff — would see the first phase of the ceasefire agreement — which was supposed to end last night — extend through Ramadan and Passover (which ends on April 20). The extension would also see Hamas releasing half of the Israeli hostages held on the first day of its implementation. The rest would be released following an agreement on a permanent ceasefire. Israel has reserved the right to resume fighting after passover if negotiations to reach a permanent agreement stall. Hamas has so far rejected Israel’s proposed extension of the current truce but has yet to comment on Witkoff’s plan. (Bloomberg | Reuters | AP | CNN)

Before Israel accepted the proposal, Hamas had already rejected Israel’s attempt to extend the first phase of the agreement by six weeks, insisting on the second phase coming into effect with Israel completely withdrawing its troops. (Bloomberg | The Guardian | Washington Post)

MEANWHILE- The aftermath of Trump and Zelenskiy’s meeting is making headlines: Ukrainian President Volodymyr Zelenskiy’s high-stakes White House meeting with Donald Trump over the weekend unraveled into a public spectacle, leaving Ukraine scrambling for support. Trump dismissed Zelenskiy’s pleas for security guarantees, telling him to “come back when he is ready for peace,” hinting US aid could dry up entirely. Trump told reporters, “Either we’re going to end it or let him fight it out. And if he fights it out, it’s not going to be pretty, because without us, he doesn’t win.”

What happened next: “We are very grateful to the United States for all the support. I’m thankful to President Trump, Congress for their bipartisan support, and American people. Ukrainians have always appreciated this support, especially during these three years of full-scale invasion,” Zelenskiy said in a post on X. In a long thread, he mentioned how Ukraine and the US remain strategic partners "despite the tough dialogue” and that "it will be difficult without the US support.”

European leaders rushed to contain the fallout, with UK Prime Minister Keir Starmer reaffirming Britain’s “full” backing and sealing a GBP 2.26 bn loan for Ukraine’s military. (Reuters | BBC | Bloomberg | New York Times)

EBRD trims Egypt’s 2025 growth forecast

EBRD trims Egypt’s growth forecast: The European Bank for Reconstruction and Development (EBRD) has lowered Egypt’s growth forecast for 2025 to 4.2%, down 0.3 percentage points from its previous estimates in September, according to its latest Regional Economic Prospects report (pdf). The lender also trimmed its forecast for the fiscal year ending June 2025 to 3.6%, a 0.4 percentage-point downgrade from its previous estimate.

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

The EBRD sees a brighter 2026: The EBRD shared its first forecast for next year, projecting GDP growth to accelerate to 4.7% in 2026 and to reach 4.6% in the fiscal year 2025-2026 as investor confidence strengthens and reforms gain traction.

What about last year’s performance? According to its preliminary estimates, the multilateral lender expects Egypt’s economy to have grown 2.9% last year, a 0.3 percentage-point downgrade from its September forecast.

Egypt’s economic recovery picked up pace in the first quarter of FY 24-25, following a period of macroeconomic instability and currency volatility, the EBRD said. Growth this fiscal year is expected to be led by “communications, accommodation and food, transportation, and storage (excluding the Suez Canal) and financial services,” alongside the manufacturing sector which is showing signs of recovery after last year’s contraction.

The multilateral lender expects prices to cool down a bit in the coming period: “Prices will likely continue to fall due to base effects and tight monetary policy, despite necessary future adjustments to fuel prices,” the report said, pointing January’s inflation easing to 24%, the country’s lowest inflation reading since December 2022.

Our external position looks promising, but risks remain: Egypt’s external position has strengthened in the wake of the Ras El Hekma agreement, however, “vulnerabilities remain,” the report noted.

Despite improvements, debt concerns remain front and center: The country’s debt-to-GDP ratio is projected to decline to 85% in FY 2024-2025, down from 96% the previous year. However, the burden of debt servicing remains high, according to the lender, with deb payments expected to take up 50-60% of government spending in the current fiscal year.

THE REGIONAL OUTLOOK- Economic growth in the SEMED region stalled in 2024, dragged down by war-driven contraction in Lebanon and broader geopolitical instability. A late-year rebound is fueling optimism, with growth expected to pick up in 2025. The region’s growth is forecast to hit 3.7% in 2025 and 4.1% in 2026, though risks — from geopolitical flare-ups to climate shocks — remain high.

Indian Flex PET inaugurates USD 175 mn PET resin factory in Sokhna — and much more from Madbouly’s day in Sokhna

Prime Minister Moustafa Madbouly spent last Thursday inaugurating a handful of factories by local and international companies in SCZone’s Sokhna Industrial Zone. Here’s the rundown:

#1- Indian Flex PET launches USD 175 mn PET resin factory: Indian plastic packaging manufacturer Flex PET opened its polyethylene terephthalate resin manufacturing plant with investments of USD 175 mn. The factory will have an annual production capacity of 580 tons of PET resin that is used in the packaging of juices and dairy products.

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

#2- China’s Cady inaugurates USD 100 mn textile factory: Chinese textile manufacturer Zhejiang Cady Industry inaugurated its new USD 100 mn textile and ready-made garments factory in the Teda industrial zone in Ain Sokhna. The project will create 4.5k direct and indirect jobs. The plant has an estimated annual production capacity of 10k tons of fabric and should make some USD 35 mn in annual sales.

What's next: The company is currently implementing an expansion with investments of USD 230 mn, while negotiating with the government for additional expansions to establish new factories.

#3- Ceramica Cleopatra inaugurated the second phase of its factory in the Sokhna Industrial Zone. The new phase, built on 500k sqm with investments of EGP 5 bn (c. USD 98.8 mn), will produce ceramic and porcelain with an annual capacity of 80 mn sqm and create 1.3k jobs.

#4- France’s Air Liquide officially launches EUR 80 mn facility: French multinational Air Liquide officially opened its EUR 80 mn medical and industrial gas production factory in the Sokhna Industrial Zone. The factory — which began full-scale operation back in August — specializes in the production of oxygen, nitrogen, and argon with a daily gas output capacity of nearly 1.2k tons.

#5- Saudi’s Beam launches USD 40 mn CBoard-run facility expansion: CBoard, a member of Saudi construction materials manufacturer conglomerate Beam, inaugurated the expansion of a cement board and wall manufacturing facility. The newly inaugurated expansion includes a cement board plant with a price tag of USD 25 mn and a gypsum panels manufacturing facility worth USD 15 mn, bringing total investments in the facility to USD 100 mn. Half of the company’s production is earmarked for export.

#6- India’s Abdos opened its USD 30 mn cosmetics manufacturing plant. The plant has an annual production capacity of 50k tons of shampoos, creams, soaps, and other cosmetics and is expected to create 350 direct and indirect jobs. The project’s second phase is scheduled to go live in June.

#7- Egyptian-German partnership opens USD 19.5 mn sanitary ware factory: Azura Egypt's sanitary ware manufacturing plant also opened its doors in the Orascom Industrial Zone in Sokhna, with total investments of USD 19.5 mn. The Egyptian-German partnership project spans 70k sqm and will produce 160k pieces annually, creating around 330 jobs.

The lowdown on Egypt’s external debt obligations in 2025 — and the government’s strategies for meeting them

Egypt’s external debt obligations for 2025 — and how they will be covered — have been cause for speculation: Egypt’s external obligations are estimated to be around USD 55 bn between 2025 and the end of 2026 — with USD 33.2 bn in 2025 alone — Al Ahly Pharos said in December in a research note seen by EnterpriseAM. Meeting these liabilities will require substantial FDI inflows or additional borrowing, making large FDI transactions and asset sales critical for short-term economic stability.

Remember- The Finance Ministry is preparing to release the new public debt policy document by the end of March, which will outline its plans for public and foreign debt — including the issuance of green bonds, sukuk, and international bonds — a government source previously told us.

What we know so far: The ministry’s upcoming debt policy is focused on extending debt maturities by diversifying debt instruments, while targeting overall debt reduction. It includes maintaining external debt for budget entities at USD 79.1 bn, unchanged from September 2024. The government is also working to trim these debts by USD 1-2 bn in the mid-term, which will lead to a gradual improvement in our debt position, longer debt maturities, and lower interest dues, the source added.

Where Egypt’s foreign debt currently stands: Egypt’s foreign debt inched up 1.5% q-o-q to USD 155.2 bn during the first quarter of the current fiscal year, up from the USD 152.9 bn recorded at the end of FY 2023-24. On an annual basis, the country’s external debt fell by just under 5.7% from the USD 164.5 bn recorded in the first quarter of the last fiscal year. Medium- and long-term debt accounted for some 82% of the country’s total foreign debt with USD 127.5 bn, while short-term debt made up the remaining USD 27.7 bn.

The government is aiming for an annual external debt reduction of USD 1-2 bn, in what represents the core goal of its new debt strategy, a government source said. One of the ways to do this would be for the government to reduce dependence on debt rollovers by paying off obligations using real investment inflows and FX revenues, they added. The government is also looking to convert a portion of its debt — particularly Gulf deposits — into investments as a means to reduce external debt, according to the source.

How much do we owe this year? Credit rating agency Moody’s expects Egypt’s external debt servicing payments to peak at USD 33 bn — equivalent to 9.5% of GDP — this fiscal year, USD 4 bn of which is in GCC deposit rollovers, along with a current account deficit of USD 18.5 bn — equivalent to 5.3% of GDP — the agency said last month. The country will also have short-term external debt rollovers of USD 26 bn — USD 11 bn of which is in GCC deposit rollovers — the agency said.

Remember-Egypt returned to international debt markets with its first USD bond issuance in nearly two years in January, issuing USD 2 bn in five- and eight-year bonds. The absence from international debt markets came on the back of high global interest rates and domestic currency market instability, which had discouraged the issuance of USD-denominated debt on international markets.

“We expect more issuances” from Egypt, Goldman Sachs’ Farouk Soussa told Asharq Business. “From a debt-to-GDP level, the capacity is relatively limited, but there’s ongoing de-leverage — they borrow USD 2 bn because they’re repaying USD 3 bn, so overall debt-to-GDP is coming down. But they have to borrow in order to finance the repayments, and so we expect them to continue to borrow going forward,” he said. Soussa pointed to specific pressures affecting Egypt’s outflows, saying that “the energy balance is very difficult for Egypt, you have arrears that are getting paid to international oil companies, and you still have low Suez Canal receipts, meaning that there’s a deficit.”

The government is banking on the privatization program as a means of bringing down Egypt’s debt-to-GDP ratio, which is expected to decline to approximately 84.5% by the end of the current fiscal year, down from last year’s high of 89.6%. It is then expected to further decrease to 81% in the FY 2026-27, then decline further to 64% in 2029 before reaching closer to 60% by the end of 2030. The Finance Ministry is planning on using a portion of the proceeds from the state asset sales program to support the state budget, reducing government debt for budgetary entities, a government source told EnterpriseAM, adding that the Ras El Hekma agreement already helped alleviate budgetary debts by some USD 3 bn.

Our energy bills are getting increasingly hefty: The government is expected to settle all dues owed to foreign energy companies operating out of Egypt by the end of the year, a senior government official previously told us. The Madbouly government paid some USD 1 bn in overdue arrears last month and made a similar payment in early January, building on a similar payout made in November, according to previous reports. The government has since agreed on a repayment schedule with international oil companies, with payments rolling out through June 2025.

Funds from development partners and banks will play a bigger role in our external debt strategy: The government aims to rely more heavily on financing from development partners, development banks, and bilateral or multilateral agreements at favorable interest rates, our source said. In that sense, the Finance Ministry is expected to scale down new international debt issuances in the new budget to an estimated USD 3-4 bn, shifting its attention toward more diverse financing sources, they added.

Carry-trade transactions will also be important: “Although carry-trade transactions are expected to be less significant than before 2022, due to the increased bilateral financing and FDI, they are still an important factor in the balance of payments,” according to a report (pdf) from French banking giant BNP Paribas. The bank sees net investment inflows linked to carry-trade transactions covering “19% and 12% of the total external financing requirement (current account deficit and amortization of external debt) in FY 2025-26 and FY 2026-27, respectively,” the report reads.

Risks remain for carry-trade transactions: Should US interest rates remain stable while Egypt reduces rates, the appeal of EGP-denominated securities would fall; meanwhile, any further hits to the value of the EGP would represent an “additional negative factor to the appeal of Egyptian securities in local currency,” according to BNP Paribas.

This sentiment was echoed by Moody’s, which said that “Egypt's high, albeit declining, debt ratio, very weak debt affordability compared to peers, and its persistently large domestic and external financing needs constrain the credit profile. These constraints raise the economy's susceptibility to capital outflows in case of external shocks that could challenge the authorities' commitment to a floating exchange rate policy, which in turn could result in the reemergence of external imbalances and erosion of foreign-currency buffers.”

Paying off our FX-denominated debt has been a hassle for the gov’t: “Foreign currency debt servicing has increased significantly in recent years and is contributing to the vulnerability of Egypt’s external finances. In FY 2024-25, interest payments on foreign currency debt were equivalent to 9% of total foreign currency revenues, compared with an average of 3% between 2018 and 2022,” BNP Paribas said.

Govt holds steady on tax policy as global rules evolve

Egypt has no plans to alter its tax regime in the near future, a senior government official told EnterpriseAM, emphasizing that maintaining a stable tax policy remains central to the country’s strategy for attracting foreign investment. Recent reports in the regional business press had suggesting that the government was considering new taxes on local companies abroad while avoiding double taxation.

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

The reports came amid speculation about government efforts to in the future comply with OECD’s Pillar Two framework, which mandates a 15% minimum effective tax rate in each jurisdiction that multinational corporations with annual revenues exceeding EUR 750 mn are present in. The framework — which Egypt is yet to implement — is a global initiative to combat corporate tax avoidance by preventing multinationals from shifting their reported bottom lines to countries with no or smaller tax burdens.

Egyptian multinationals are seeking clarity about the framework, with many having already approached the government to try to find out its plans to comply with the global initiative, our source told us. However, meeting the framework is not part of the government’s current priorities, with the state instead focused on finalizing tax incentives and resolving outstanding disputes with taxpayers ahead of the upcoming 2025-2030 tax policy framework.

There’s still a lot of work to do before we can fully abide by the Pillar Two framework, especially when it comes to our many freezones and the important place they have in the country’s development plan, our source explained. Egypt is keen to avoid losing its share of tax revenue to other jurisdictions that enforce the 15% levy, but implementing the framework would require renegotiating numerous double taxation agreements with other countries, along with many legislative changes — a process that will take time.

Whatever changes are ahead, a stable tax policy remains the message coming from the government as part of its attempts to assure businesses at home and abroad to up their investments and activities, the senior government source told us.

Egypt, Morocco work to resolve trade spat, boost economic cooperation

Egypt and Morocco to open new chapter in trade relations? Investment Minister Hassan El Khatib’s visit to Morocco following reports that the North African nation had put a stop to Egyptian imports has resulted in the inking of several agreements to address Moroccan concerns about a trade imbalance and to increase bilateral trade, according to a statement from the Investment Ministry and another statement from Morocco's Industry and Trade Ministry. To address the trade imbalance and promote bilateral trade, the two sides agreed to establish a “direct line of communication” to address any trade issues that arise, the fast tracking of Moroccan exports into Egypt, and increasing efforts to promote Egyptian imports of Moroccan-made goods — especially for automobiles.

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

The two nations are also hoping to get each other’s private sectors on board, with a business-to-business forum for specific sectors set to take place in Egypt in April. Preparations are also underway to activate the Business Council between the two and for the Egypt-Morocco Joint Trade Committee to meet.

Remember: The government sent a high-level delegation to Rabat last week to push for the removal of recent restrictions that have left Egyptian exports piling in Morocco’s ports for two weeks, a government source previously told EnterpriseAM. Nearly 150 containers loaded with ceramics, food products, and insulation materials were said to be stuck at Moroccan ports in an effort to address a trade imbalance in favor of Egypt.

What trade imbalance? Egyptian exports to Morocco came in at USD 898 mn for the first 11 months of 2024, while Egypt-bound Moroccan goods amounted to only USD 42.1 mn, according to Capmas data seen by EnterpriseAM.

GB Corp, CI Capital, Fawry, Telecom Egypt report 2024 earnings

Yet more companies are out with their financials for the previous year, with GB Corp, CI Capital, and Telecom Egypt out with their earnings for 2024.

GB CORP SEES NET INCOME INCREASE BY MORE THAN 50% IN 2024-

GB Corp’s net income rose 54.8% y-o-y in 2024 to EGP 2.9 bn, the company said in its earnings release (pdf). The company also recorded a 90.6% y-o-y increase in revenues at EGP 54.0 bn, which the company attributed to “strong performances” in its GB Auto and GB Capital arms.

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

The breakdown: GB Corp’s GB Auto saw its revenues nearly double y-o-y to EGP 47.1 bn during the year, “driven by enhanced pricing strategies and an improved product mix.” The group’s NBFS arm GB Capital saw its revenues — before intercompany eliminations — rise 49.1% y-o-y to record EGP 7.4 bn.

On a 4Q basis, net income increased 82.9% y-o-y to EGP 1.1 bn, while revenues came in 111.1% higher compared to the same period in 2023 at EGP 18.6 bn.

Looking ahead: “We will deepen our regional presence by introducing new brands, boosting automation, and further digitalizing our operations to strengthen efficiency and synergies across all lines of business,” CEO Nader Ghabbour said. “Overall, we remain cautiously optimistic about the country's macroeconomic outlook, with the expected relative stability

in FX and inflation rates, an imminent CBE easing cycle, the easing of import restrictions, and the gradual recovery in consumer purchase power, all creating a tail wind effect driving growth across GB Corp’s lines of businesses.”

CI CAPITAL SEE NET INCOME MORE THAN DOUBLE IN 2024-

CI Capital’s net income after minority interest and tax logged EGP 2.2 bn in 2024, rising 115% y-o-y, the company said in a press release (pdf). Its corporate leasing arm Corplease saw its net income after tax rise 58% y-o-y to EGP 1.1 bn in 2024

The company’s total revenues climbed 52% y-o-y, coming in at a record EGP 10 bn last year. Corplease recorded revenues of EGP 4.8 bn for the year, up 30% y-o-y. Revenues from its microfinance arm Reefy rose 30% y-o-y to EGP 2 bn, the group’s investment bank posted a 78% y-o-y increase in revenues to EGP 1.7 bn, while revenues for CI Mortgage Finance rose 124% y-o-y to EGP 532 mn.

The group’s total financing portfolio came in at EGP 22.1 bn in 2024, with Corplease’s outstanding portfolio standing at EGP 15.7 bn, and Reefy’s loan portfolio registering EGP 3.2 bn. CI Mortgage Finance’s outstanding portfolio stood at EGP 1.9 bn.

What they said: “These results are a testament to the effectiveness of our strategic initiatives and our model's sustainability, both underpinned by the Group’s diverse, integrated, and market-leading investment banking and nonbanking financial services platforms,” Group CEO Hesham Gohar said.

FAWRY’S NET INCOME DOUBLES-

EGX-listed fintech giant Fawry saw its net income jump 124.6% y-o-y in 2024 to record EGP 1.6 bn driven by a 68.4% y-o-y revenue growth to EGP 5.51 bn — marking its highest topline growth rate since its 2015, the company said in an earnings release (pdf). The increase in revenues was the result of “the expansion and diversification of the Company’s business offerings [and] effective cost control measures.”

Driving the growth: Fawry’s banking services segment — which made up 42% of the firm’s revenues for the year — saw its revenues jump 83.3% y-o-y to EGP 2.3 bn last year. The alternative digital payments segment was the second largest contributor to Fawry’s overall revenues, saw its revenues come in at EGP 1.7 bn, marking a 34.7% y-o-y increase. The company’s financial services segment came in third, growing by 137.7% y-o-y to EGP 1 bn, while revenues from supply chain solutions grew by 53.4% to EGP 347 mn.

On a quarterly basis: Fawry’s net income stood at EGP 500.1 mn, marking a 118.6% y-o-y increase, during 4Q 2025. The fintech player recorded a 74.4% y-o-y increase in revenues during the quarter, which sat at EGP 1.7 bn.

What they said: “As we look to the future, our focus remains on building a multi-sided platform that fosters seamless interactions across our network. Through continuous innovation and service expansion, we are committed to addressing the diverse needs of our customers while driving financial inclusion for Egypt’s unbanked and underserved communities,” said CEO Ashraf Sabry.

TELECOM EGYPT SEES REVENUES DIP-

Telecom Egypt closed 2024 with a 22% y-o-y rise in net income to EGP 14.3 bn for the year — when excluding EGP 4.9 bn in FX losses and early retirement compensation amounting to EGP 600 mn — according to the company’s latest earnings release (pdf). When accounting for FX losses and early retirement payments, net income comes in at EGP 10.1 bn, marking a 14% y-o-y decline.

It’s a more positive image for the telecom giant’s revenues, with total revenue increasing 45% y-o-y to EGP 82 bn in 2024, which the release attributes to its retail segment driving 52% of revenue growth and making up 54% of total revenue. Its home and consumer segment also registered a similar increase in revenue, registering 45% y-o-y growth throughout the period.

EFG Hermes maintains brokerage dominance in February

EFG Hermes’ brokerage arm topped the EGX brokerage league table in February, with a 46.3% market share, according to figures released by the bourse (pdf). This marks the sixth consecutive month EFG has been in the top spot. Rounding out the top five were CI Capital (8.7%), Mubasher Securities (4.3%), Thndr Securities (4.2%), and Beltone Holding (3.2%).

Egypt’s FinMin is in line for a USD 500 mn syndicated loan

DEBT-

USD 500 mn loan for FinMin greenlit by the presidency: The Finance Ministry has secured a USD 500 mn loan from Deutsche Bank and Bank ABC, according to a presidential decree. The loan is backed by the Arab Investment and Export Credit Guarantee Corporation. The loan has been in the works since 2023 — back then it was reported that it would be used to renovate classrooms, upgrade hospitals under the Decent Life initiative, and go towards the universal health ins. system.

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

HOSPITALITY-

#1- Travco to add 5k hotel rooms: Travco Properties, the real estate arm of Egyptian travel giant Travco, plans to invest EGP 50 bn to build 5k hotel units on the North Coast over the next five years, Managing Director Omar Abdel Ghaffar told Asharq Business. Travco has already sold 1k units to Egyptian expats and a smaller number to other Arab and foreign nationals.

#2- Paragon, Boulevard partner on Marsa Alam tourism project: Egyptian real estate developer Paragon Developments inked an MoU with Boulevard for Tourism Development to set up a mixed-use tourism and hospitality project in Marsa Alam, according to a press release (pdf). The development will span 1 mn sqm, with the first phase covering 300k sqm in the Marsa Wazar-Quseir sector. The project will feature a 300-key Hilton-branded hotel resort and spa, along with a specialized diving center connected to a 100-key hotel for marine sports enthusiasts. Future phases will include serviced apartments, villas, and townhouses.

** We sat down with Bedeir Rizk, CEO of Paragon Developments, last month for our My Morning Routine column.

IPO-

2PointZero could list on the ADX this year: Abu Dhabi conglomerate International Holding Company’s investment arm 2PointZero is gearing up to go public on the ADX this year, CEO Mariam Almheiri said yesterday without providing further details.

About 2PointZero: Established last year, 2PointZero is expected to have an AED 100 bn asset base with a portfolio stacked with regional heavyweights, including Beltone Holding and Lunate.

CAPITAL MARKETS-

Al Baraka Capital is gearing up to launch three new funds in 2H 2025, starting with a fixed-income fund worth EGP 50 mn, Managing Director and CEO Sarah Hosni told Al Borsa. The company will follow up with two additional funds, one focused on shariah-compliant equities tied to the EGX33 index, and another offering a balanced investment strategy, valued at EGP 50 mn each.

RETAIL-

Frasers partners with GMG to expand Sports Direct into Egypt and the Gulf: UK retailer Frasers Group inked a ten-year partnership with GMG to open its sportswear Sports Direct stores across Egypt and the Gulf, according to a statement. The agreement aims to see Sports Direct open 50 stores over the next five years, with the first five outlets set to launch within the first year.

E-COMMERCE-

Paysky launches e-commerce platform for Ugandan market: Local digital payment platform Paysky and the fintech arm of South African telecom giant MTN are collaborating to launch a new application, Market by MoMo, to enhance the online shopping experience for Ugandan merchants and consumers, according to a statement (pdf).

Bybit hack fuels BTC sell-off amid broader market jitters

BTC has fallen 12.7% since the cyberattack on crypto exchange Bybit on 21 February, which industry insiders described as the biggest crypto theft of all time. The theft of the roughly USD 1.5 bn of digital tokens at points led to the value of BTC reaching as low as USD 79.3k, marking a 28.2% drop from a record high of USD 109.2k on 20 January, the day of Donald Trump’s inauguration.

The theft has left some crypto investors spooked, with the cyberattack targeting a cold wallet — understood to be one of the safest and most secure ways to store tokens. Concerns about the security of decentralized finance are pointed to by market participants as the reason for the sell off.

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

The FBI has linked the Bybit theft to North Korea, warning that stolen assets — converted into BTC and other digital tokens — are being laundered across multiple blockchains, it said in a statement last week. With the country’s demonstrated ability to conduct sophisticated operations to steal cryptocurrency — amounting to USD 1.3 bn in 47 separate heists in 2024, according to a report cited by the Guardian — the fear is that large crypto heists will become more commonplace as hackers continue to uncover vulnerabilities.

BTC’s decline isn’t just about Bybit, as investor enthusiasm for pro-crypto policies under the Trump administration has begun to wane amid rising inflation concerns and a perceived stalling of political momentum in support of digital tokens, Forbes reports.

EGX30	30,610	-0.1% (YTD: +2.9%)
USD (CBE)	Buy 50.59	Sell 50.73
USD (CIB)	Buy 50.60	Sell 50.70
Interest rates (CBE)	27.25% deposit	28.25% lending
Tadawul	12,112	-1.0% (YTD: +0.6%)
ADX	9,565	-0.5% (YTD: +1.6%)
DFM	5,318	-0.8% (YTD: +3.1%)
S&P 500	5,955	+1.6% (YTD: +1.2%)
FTSE 100	8,810	+0.6% (YTD: +7.8%)
Euro Stoxx 50	5,464	-0.2% (YTD: +11.6%)
Brent crude	USD 72.81	-1.0%
Natural gas (Nymex)	USD 3.83	-2.5%
Gold	USD 2,849	-1.6%
BTC	USD 85,855	-1.9% (YTD: -8.3%)

THE CLOSING BELL-

The EGX30 fell 0.1% at Thursday’s close on turnover of EGP 4.6 bn (27.9% above the 90-day average). Local investors were the sole net buyers. The index is up 2.9% YTD.

In the green: Orascom Development (+5.3%), TMG Holding (+4.0%) and Beltone Holding (+3.2%).

In the red: E-finance (-3.7%), Juhayna (-2.0%) and Eastern Company (-1.6%).

CORPORATE ACTIONS-

#1- Ezz Steel repurchased EGP 21.6 bn worth of shares from shareholders opposed to the group’s voluntary EGX delisting, Mubasher reports. The company acquired approximately 156.52 mn shares at EGP 138.15 apiece on the special operations market, which will remain open until Thursday, 6 March for shareholders wishing to exit and liquidate their holdings.

#2- Act Financial will pay out dividends worth EGP 190 mn, following its successful capital increase through an IPO in 2H 2024, according to a letter (pdf) to shareholders.

El Sisi discusses Gaza, regional issues with UK, Italian leaders

El Sisi, Starmer talk Gaza: President Abdel Fattah El Sisi received a phone call from UK Prime Minister Keir Starmer where they discussed bilateral relations and regional developments, according to an Ittihadeya statement. The call emphasized strengthening cooperation in trade and investment while reviewing Egypt's efforts to implement the Gaza ceasefire agreement. Both leaders stressed the importance of swiftly beginning Gaza's reconstruction without displacing Palestinians, with El Sisi reiterating that a Palestinian state based on 1967 borders with East Jerusalem as its capital remains “the only guarantee for lasting peace in the Middle East.”

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

Italian PM praises Egypt's efforts to counter illegal migration: In a separate call, El Sisi spoke with Italian Prime Minister Giorgia Meloni about economic, investment, and trade relations, according to a separate Ittihadeya statement. The leaders agreed to intensify cooperation on combating illegal migration, with Meloni commending Egypt's successful efforts that have prevented migration boats from departing Egyptian shores since 2016. Gaza was also present in the call, with both sides stressing the importance of beginning reconstruction efforts while supporting Palestinians' right to establish an independent state.

PALESTENIAN PM WAS IN TOWN-

Palestinian Prime Minister Mohammad Mustafa was in Egypt yesterday, where he met with Prime Minister Moustafa Madbouly and Foreign Minister Badr Abdelatty. Discussions centered around the reconstruction of Gaza, with Madbouly and his counterpart touching on joint efforts to complete Gaza’s reconstruction plan ahead of presenting it to the emergency Arab Summit convening in Cairo on Tuesday.

Remember: Last month Egypt said it will propose “a comprehensive vision for the reconstruction of the Gaza Strip in a manner that ensures the Palestinian people remain in their homeland and aligns with their legitimate and legal rights.”

CALENDAR

MARCH

1-10 March (Saturday-Monday): Egypt will open electronic applications for 2.2k industrial land plots across 22 governorates

3 March (Monday): Central bank to publish foreign reserve data for February.

4 March (Tuesday): Egypt will host emergency Arab League summit on Gaza.

4 March (Tuesday): S&P Global to release Egypt’s PMI figures for March.

10 March (Monday): Capmas expected to release inflation data for February.

Arla Foods’ deadline for Domty acquisition offer.

Operation of phase one of the Amotope wind farm.

Alwaad Investment to inaugurate a new cold beverage plant with an annual production capacity of 14.5 mn units.

Al Ahly Sabbour to finalize preparations for its EGX listing, offering 20-25% of its shares, with an advisor to be tapped in early 2025.

March-April 2025: The government plans to start collecting taxes on capital gains from EGX transactions.

APRIL

7-9 April (Monday-Wednesday): Narrative PR Summit launches 9th edition, Red Sea

7-10 April (Monday-Thursday): EFG Hermes One on One conference, Dubai, UAE

10 April (Thursday): Capmas expected to release inflation data for March.

17 April (Thursday): Monetary Policy Committee’s second meeting.

28-30 April (Monday-Wednesday): FDC Regional Digital Industry Summit will launch cybersecurity index.

Business-to-business forum of Egyptian and Moroccan companies to promote bilateral trade, Cairo, Egypt.

The Suez Canal Container Terminal will begin trial operations for its expanded East Port Said facilities.

Government begins talks with EU on the second tranche of the of the EUR 5 bn concessional loans package

Saxony Delegation visit to Egypt.

Egypt to launch trial operations of the first phase of its USD 1.8 bn Egypt-Saudi electricity interconnection project, ahead of schedule

Tahya Misr 1 container terminal to begin operations, adding 3.5 mn container capacity to the port.

MAY

10 May (Saturday): Capmas expected to publish inflation data for April.

18-20 May (Sunday-Tuesday): First Arab International Exhibition for Sustainable Development.

22 May (Thursday): Monetary Policy Committee’s third meeting.

Egyptian Exporters Association (Expolink) exhibition, Italy

French rolling stock manufacturer Alstom will submit technical and financial bids for Cairo Metro Line 6

JUNE

10 June (Tuesday): Capmas expected to publish inflation data for May.

June 2025: MPs approveextension of tax dispute resolution window until 30 June 2025, with potential for further extension

June 2025: Nissan and Honda finalise talks about possible merger to create the world’s third largest automobile company by sales.

June 2025: Coficab to complete its USD 88 mn automotive cable and electrical factory in Tenth of Ramadan City

JULY

10 July 2025 (Thursday): Monetary Policy Committee’s fourth meeting.

15-16 July 2025 (Tuesday-Wednesday): Egypt Mining Forum.

July 2025: The first operational trail of Egypt-KSA electricity interconnection line.

July 2025: Etihad Airways to launch twice-weekly flights to Alamein

July 2025: Israel to begin increasing gas exports to Egypt from Chevron’s offshore Tamar field

AUGUST

28 August 2025 (Thursday): Monetary Policy Committee’s fifth meeting.

August 2025: Tourism Development Authority to waive late payment penalties for land purchases if full installments are paid

SEPTEMBER

September 2025: Egypt Education Platform (EEP) to launch two new schools in Alexandria and Somabay

September 2025: Egypt Otsuka’s nutritional products factory in Tenth of Ramadan to begin operations, with exports to Gulf countries expected by January 2026

OCTOBER

2 October 2025 (Thursday): Monetary Policy Committee’s sixth meeting.

NOVEMBER

20 November 2025 (Thursday): Monetary Policy Committee’s seventh meeting.

DECEMBER

1-4 December: Egypt Defence Expo (EDEX), Egypt International Exhibition Centre.

25 December: (Thursday): Monetary Policy Committee’s eighth meeting.

December: Taqa Arabia and Voltalia to complete studies for repowering the 545-MW Zafarana wind farm with 1.1 GW of wind and 2.1 GW of solar power

EVENTS WITH NO SET DATE

Early 2025: ADQ to break ground on the development of Ras El Hekma

Early 2025: Al Ismaelia to begin working on two new hotels and hotel apartments in Downtown Cairo.

Early 2025: The Communications Ministry will unveil the second edition of its national AI strategy in early 2025

Early 2025: The Suez Canal Authority to launch an IPO for the Canal Company for Mooring and Lights (CCML) on the EGX.

Early 2025: Orange Egypt to launch 5G services, with EGP 10 bn planned for network upgrades.

Early 2025: BP to begin drilling at the King Mariout Offshore concession.

Early 2025: Jinbei Royal Egypt to begin local assembly of 3k Jinbei vehicles, including the country’s first electric cargo van and microbus

1Q 2025: The Egyptian-Italian business forum

1Q 2025: Investment Minister Hassan El Khatib to visit Italy

1Q 2025: Eipico’s biopharma plant to begin operations

1Q 2025: Finance Ministry to launch public consultations on its tax policy document

1Q 2025: Egypt to sign trade agreements with Bahrain and UAE to slash customs clearance times

1Q 2025: Government to launch EUR 271 mn green industry program to cut emissions

1Q 2025: Egypt-Azerbaijan joint committee to meet to bolster trade and investment ties

1Q 2025: Turkish Automotive Manufacturers Association and Turkish Contractors Association to visit Egypt following an invitation from the Investment Minister

1Q 2025: One of four companies, including Abu Qir Fertilizers, Mopco, Egyptian Petrochemicals Holding Company, and a Saudi-affiliated firm, to be selected for the USD 450 mn redevelopment of Delta Fertilizers

1Q 2025: GV Auto to begin local production of FAW Group’s cheapest EV model.

1Q 2025: Alkan Auto to launch BAIC subsidiary Arcfox’s EVs to the market.

1Q 2025: Dynamic Distribution to launch a new competitively-priced Fiat model in Egypt.

1Q 2025: BP to drill two USD 160 mn exploratory gas wells in the West Delta.

1Q 2025: Port Said for Engineering Works to begin construction on a USD 80 mn aluminum foil factory in the SCZone, targeting initial production of 60k tons annually.

1Q 2025: Pearl Polyurethane Systems to start production at its EGP 100 mn polyurethane factory in the Sokhna Industrial Zone.

1Q 2025: Sumitomo Electric to officially open its EUR 22 mn cable factory in Tenth of Ramadan, with production set to begin next month.

1Q 2025: Construction of the USD 600 mn natural gas treatment plant in the Western Desert’s Meleiha concession to wrap up, followed by a pilot run.

1Q 2025: El Araby Group and Sharp to break ground on a USD 50 mn fridge and freezer manufacturing plant in the Quweisna zone.

1Q 2025: Hangzhou Henneway Travel Goods to begin production at its USD 50 mn factory in the West Qantara Industrial Zone

1Q 2025: BP to drill two USD 160 mn exploratory gas wells in the West Delta

Mid-2025: EGX launches sustainability index.

2Q 2025: Financial Regulatory Authority (FRA) to introduce derivatives on the EGX

2Q 2025: Safaga Terminal 2 to start operations

2Q 2025: Hassan Allam to build infrastructure for AD Ports' Noatum terminal at Safaga

2Q 2025: EgyptSat Auto to start production at its EV factory in Tenth of Ramadan City

1H 2025: EGX launches a sharia-compliant sustainability index.

1H 2025: Digital Financial Identity Company will launch an electronic bank account opening service

1H 2025: The Egyptian-US Investment Forum.

1H 2025: The Egyptian Mineral Resources Authority will relaunch a global tender for gold exploration through Shalateen Mineral Resources company.

1H 2025: Internal Trade Development Authority (ITDA) to establishfour logistics zones with EGP 18-20 bn investments

1H 2025: Natco to launch Chinese firm Neta Auto’s EV models.

1H 2025: OCI Global to complete the sale of its entire methanol business to Methanex for USD 2.05 bn.

1H 2025: Egypt and the UAE to begin construction of a USD 3 bn petroleum logistics zone at Al Hamra Port

1H 2025: HoldiPharma to list 25-30% stakes in Misr Pharma and Chemical Industries Development (CID) on the EGX

1H 2025: Korra Energi to list up to 20% stake on the EGX

1H 2025: Smart Villages Development and Management Company plans to list 30-35% of its shares on the EGX

1H 2025: Halliburton to bring three gas wells online as part of the Burullus project.

1H 2025: Chevron to begin gas production from the offshore Nargis gas field, initially producing 600 mn cf.

1H 2025: Nile Recycling to launch USD 20 mn PET recycling facility in Ain Sokhna, targeting an annual capacity of 22k tons and reducing carbon emissions by 40k tons

3Q 2025: Nasr Automotive begins locally manufacturing passenger cars.

3Q 2025: AMEA Power to bring 500 MW Amunet wind farm online in Ras Ghareb

4Q 2025: Abou Ghaly Motors to introduce the Subaru Solterra to the market

4Q 2025: Two new projects in food manufacturing and home textiles to begin operations in the Qantara West Industrial Zone

2H 2025: National Printing Company to make its EGX debut after delayed IPO plans

2H 2025: Tabarak Holding to list 30% of its shares on the EGX

2H 2025: Turkish apparel company Denim Rise to open a garment manufacturing facility

2H 2024: Hi-Tech Apparel to break ground on a USD 20 mn sportswear factory in the SCZone

2H 2025: Eni to drill two new wells in the Zohr field with USD 160 mn in investments

Mid-2025: The Administrative Capital for Urban Developments to roll out the second phase of offering industrial plots to investors

Mid-2025: SN Automotive to launch three locally assembled models — one electric and two gasoline-powered — in Egypt

Mid-2025: Suez’s USD 1.8 bn coal and diesel production complex, developed by Enppi and Petrojet, to be completed

Mid-2025: Wataneya and Safi to debut on the EGX

End of 2025: The Egypt Digital Industrial Platform will expand to include additional services for manufacturers, including the issuance of licenses, building permits, and industrial records

End of 2025: An unnamed Chinese company and the state-owned Arab Organization for Industrialization (AOI) to begin production at a USD 360 mn tire factory in the SCZone.

End of 2025: A consortium including Redcon Properties and Al Baraka Bank to launch a local real estate investment fund with over EGP 1 bn in initial investments

Late 2025: Baron Hotels to open a new hotel in Sharm El Sheikh and debut its first international property in Zanzibar with 150 luxury suites

2025: The InterAcademy Partnership assembly

2025: Nile Basin States Summit, Cairo, Egypt

2025: Release of the government’s Startup Charter document

2025: Nafeza to integrate air cargo into its digital customs platform, further streamlining trade logistics

2025: Africa50 completes 42.9% stake acquisition in Raya Data Centers for USD 15 mn to fund construction of a USD 35 mn Tier III data center.

2025: MM Group for Industry and International Trade is set to launch 16 new Tata vehicle models locally.

2025: China to issue USD 411 bn in special treasury bonds

2025: El Attal Holding to list 30-35% of its shares on the EGX

2025: The Administrative Capital for Urban Development (ACUD) to launch its EGX debut, offering 5-10% of its shares.**

2025: Basata Holding for Financial Investments to offer 25% stake on the EGX as part of a plan to double its capital to EGP 1.4 bn.**

2025: Hilton Cairo Nile Maadi to open early in the year, alongside debuts of Tapestry Collection and Curio Collection by Hilton.

2025: Palm Hills and Marriott to launch The Ritz-Carlton Residences in West Cairo, featuring 150 branded units across 45 acres

2025: Jaz Hotel Group to set up two new hotels in North Coast, two in Hurghada, and two in Marsa Alam

2025: Sunrise Resorts & Cruises to add 4k hotel rooms to its hotels capacity.

2025: Egyptian Petrochemicals Holding Company (ECHEM) to complete studies and kick off production of Egypt’s first sustainable aviation fuels (SAFs).

2025: Polaris Parks to begin development of the industrial park in New October City

2025: EgyptAlum to launch a USD 100 mn foil production line with a 50k-ton annual capacity

2025: Honor to begin operations at its proposed smartphone manufacturing facility in Egypt, with an initial investment of USD 10 mn

2025: Indorama and Phosphate Misr to begin implementation of the USD 400-500 mn phosphate fertilizers plant in Ain Sokhna

FY 2025-26: Egypt to issue its first EGP-denominated sovereign sukuk to finance public investments outside the general budget

FY 2025-26: The government to begin introducing cash-based subsidies on a trial basis in select areas of the country

2025-2027: EUR 4 bn in concessional loans to follow as part of a EUR 7.4 bn package

2026

Baron Hotels to launch two hotels in Egypt with 950 rooms, followed by another with 750 rooms.

May 2026: End of extension for developers on 15% interest rates for land installment payments

2027

20 January-7 February: Egypt to host the African Games

EVENTS WITH NO SET DATE

2027: Egypt to host EBRD’s annual meetings for 2027.

End of 2027: Trial operations at the Dabaa nuclear power plant expected to take place

September 2028: First unit of the Dabaa nuclear power plant begins operations

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