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Wednesday, 29 Jan 2025

What We're Tracking Today
Debt Watch
Investment Watch
Manufacturing
Moves
Last Night’s Talk Shows
Also On Our Radar
Planet Finance
Hardhat
Calendar

Egypt re-enters global debt market with USD 2 bn eurobond issuance

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Today at a glance

1

DEBT WATCH

Egypt re-enters global debt market with first eurobond issuance since 2021.
2

INVESTMENT WATCH

Concentrix to invest USD 1 bn to expand Egypt outsourcing operations.
3

Manufacturing

Arab Organization for Industrialization to set up another USD 100 mn solar panel factory.
4

What We're Tracking Today

Universities step up to support USAID scholarship students following Trump foreign aid freeze.
5

Moves

Dalia El Baz starts her term as Egypt Post chair.
6

Also on our Radar

Gov’t on the lookout for new partner for USD 2.3 bn pumped storage hydropower project in Ataka.
7

PLANET FINANCE

PE stakes traded in secondary markets reach a record high in 2024.
8

HARDHAT

What are the government’s plans for Downtown Cairo post-revamp?

Wednesday, 29 Jan 2025

What We're Tracking Today
Debt Watch
Investment Watch
Manufacturing
Moves
Last Night’s Talk Shows
Also On Our Radar
Planet Finance
Hardhat
Calendar
1

What We're Tracking Today

Universities step up to support USAID scholarship students following Trump foreign aid freeze

Good morning, ladies and gentlemen. Today, the government’s got a few more things it can tick off the to-do list for the fiscal year, with a plan now set in motion to reenter the global debt market and a ten-digit investment boost to efforts to expand the country’s service export industry.

BUT FIRST- A shout-out to our friends at Khufu’s, who came in ranked number four in this year’s 50 Best Restaurants in MENA, sponsored by S.Pellegrino & Acqua Panna. Khufu’s is the only non-Dubai restaurant in the top five. We’ll have the full rundown for you in this afternoon’s edition of EnterprisePM, or you can check out the ranking here and see if your favourite made the list.

PSA-

Beware of text messages from scammers pretending to be Egypt Post, Egypt Post warned in a statement. The national postal service will never ask you to click a link to provide additional data or to pay for shopping or other fees via phone or text, Egypt Post clarified.

WEATHER- The sun is out in Cairo today, with a high of 21°C and a low of 12°C, according to our favorite weather app.

Over in an overcast Alexandria, there’s a chance of light rain, with a high of 21°C and a low of 11°C.

** DID YOU KNOW that we now cover Saudi Arabia and the UAE?

** Were you forwarded this email? Tap or click here to get your own copy delivered every weekday before 7am Cairo time — without charge.

WATCH THIS SPACE-

#1- The Higher Education Ministry has stepped in to make sure Trump’s foreign aidfreeze doesn’t push Egyptians on USAID-funded scholarships out of universities, with the ministry saying that the 877 students at Egyptian universities will be covered by their universities under the same arrangement — and beyond this if needs be. The ministry has also asked the American University in Cairo to do the same for its 200 students on USAID scholarships.

There’s also USAID-funded students abroad at US universities left in a lurch, but ministry spokesperson Adel Abdel Ghaffar took to the airwaves to reassure concerned parents that “we also have a small number of master’s students in US universities—no more than seven—who will be closely supported” (watch, runtime: 7:12).

Ghaffar denied rumors that AUC had expelled scholarship students from their student lodgings, instead highlighting the university’s “complete commitment” to continuing the scholarships for its students. “Each university has committed to bearing the full cost of these scholarships, ensuring that no student’s education or housing is disrupted,” he said.

#2- Turkish companies are expected to invest at least USD 300 mn in Egypt in 2025, Turkey’s Ambassador to Egypt Salih Mutlu Şen told Asharq Business. Şen reportedly said to Turkish exporters in Egypt at an event yesterday that Turkish clothing firm Eroglu Holding plans to invest additional USD 120 mn in the Qantara West Industrial Zone. Trade exchange between the two countries could also reach USD 10 bn in 2025, up from USD 8.8 bn last year, he added.

#3- The six newly formed private sector advisory committees held their first meeting with Prime Minister Moustafa Madbouly yesterday, which the PM marked as the beginning of a “new state concerned with strengthening the partnership between the government and the private sector,” according to a cabinet statement. The meeting focused on discussing the framework of each committee, with members set to meet separately to discuss policy proposals before the at least monthly meeting with Madbouly and the relevant ministers.

** We put together a rundown of the committees and their members after the news broke last week. Read the story here.

CAPITAL MARKETS-

Ezz Steel will voluntarily delist shares from EGX and LSE, with the company’s extraordinary general assembly approving a fair value of EGP 138.15 per share, as determined by BDO Keys for Financial Consultancy, according to an LSE disclosure. Shareholders objecting to the delisting or unwilling to remain will have their shares purchased at the set fair value.

HAPPENING TODAY-

It’s day one of Business Ya Shabab, an SME and youth-focussed trade exhibition that will host 150 exhibitors showcasing traditional crafts, handmade products, and startup innovations. The exhibition will run from today until 8 February at Cairo Stadium.

HAPPENING NEXT WEEK-

The National Dialogue will hold an emergency session on Saturday following Trump’s calls to “clean out” Gaza. “These statements have found no support in the world except from the far-right and Israeli settler extremists. They represent a blatant and humiliating challenge to the entire world,” the group’s board of trustees said.

THE BIG STORY ABROAD-

Another day, another erratic move from US President Donald Trump is taking up the global press’ attention.

Trump attempted to freeze hundreds of bns of USD in federal aid — spanning anti-poverty initiatives and Medicaid to thousands of institutions reliant on federal loans — in order to make sure federal agencies align with his Make America Great Again agenda, before the decision was blocked seconds before it was set to take effect by a judge. The decision will now be deferred to a hearing on 3 February. The 24-hour chaos before the decision was blocked is getting attention everywhere: Reuters | Bloomberg | Financial Times | New York Times | AP | WSJ.

In business news, Trump said Microsoft is in talks to buy TikTok ahead of its impending ban in the US, Reuters reports. The tech giant was previously in talks to acquire a US unit of TikTok that would be separate from its Chinese parent ByteDance in 2020 before talks collapsed.

ALSO- US tech shares recovered some of their losses after the DeepSeek selloff a day earlier, with AI chip giant Nvidia gaining 8.9%. (Reuters | FT)

*** It’s Hardhat day — your weekly briefing of all things infrastructure in Egypt: Enterprise’s industry vertical focuses each Wednesday on infrastructure, covering everything from energy, water, transportation, and urban development, as well as social infrastructure such as health and education.

In today’s issue: We look at government plans to establish a new independent authority that would be responsible for managing, operating, and realizing Downtown Cairo’s potential following its restoration.

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2

DEBT WATCH

Egypt re-enters global debt market with USD 2 bn eurobond issuance

Egypt has officially returned to international debt markets with its first USD bond issuance in nearly two years, issuing USD 2 bn in 5- and 8-year bonds, according to a disclosure by JPMorgan Securities to the London Stock Exchange. The bonds carry an initial trading range of 9.75-10%, with the price expected to drop 1 to 2 percentage points below the indicative yield at trading, a senior Finance Ministry official told EnterpriseAM.

The timeline: The bonds will trade with a price stabilization period beginning yesterday and running through 28 February, with an additional 5% worth of bonds on the table to be allocated if desired.

We saw this coming: Last week we were the first to report that the Madbouly government was planning a jump back into international debt markets within weeks, with the government seeking to take advantage of rising investor interest in Egyptian debt.

Remember: The government last issued eurobonds in late 2021, selling USD 6.75 bn in bonds across two issuances in February and September. Since then, high global interest rates and domestic currency market instability have discouraged the issuance of USD-denominated debt on international markets, with the only exception a USD 1.5 bn sukuk issuance in February 2023.

This issuance has been months in the making: Finance Minister Ahmed Kouchouk reportedly told investors in London back in September that Egypt aimed to issue USD 3 bn in eurobonds and other debt instruments by the end of the fiscal year this coming June. The government has planned to use a diverse array of debt instruments — including phased issuances of eurobonds, sukuk, and bonds backed by guarantees from institutions like the IMF — in order to reduce borrowing costs.

The story also caught the attention of the int’l press: Bloomberg.

FURTHER ISSUANCES COULD INCLUDE A USD 1.5 BN SUKUK OFFERING-

What’s next? Our source told us that they expect another issuance in the spring — likely a USD 1.5 bn sovereign sukuk offering — as there is currently market appetite for such instruments. The next fiscal year may also see Egypt issue its first social bonds in 4Q 2025, the source noted.

The gov’t is eyeing renewed passive flows: Egypt also aims to rejoin JPMorgan’s widely-tracked emerging-market sovereign bond index next year as part of a strategy to extend average debt maturities to 4-5 years, according to the source. Rejoining the index could also bring new passive flows into a local debt market that has until this point seen new portfolio inflows dominated by investment in short-term T-bills.

It’s all about safeguarding against another FX crisis: FX liquidity has improved significantly since Ras El Hekma, with the proceeds of the agreement — and others — helping settle a portion of our debt and supporting increases in our net international reserves and net foreign asset position, HC Securities’ Heba Mounir told EnterpriseAM. “However, as long as we have a trade deficit, we will continue to have a financing gap — and the government wants to avoid a repeat of the severe FX shortage that Egypt experienced in the last few years. It’s all about improving our FX liquidity to be able to pay off our external debt, and this issuance will help the government to pay off its debts with a longer maturity until our FX inflow improves.”

ICYMI: Kouchouk stated earlier this month that the government aims to reduce Egypt’s debt-to-GDP ratio to 85% by the end of this fiscal year, with the government also set on decreasing the external debt by USD 2 bn annually in order to bring the debt within sustainable levels.

ADVISORS- Our friends at HSBC are managing the transaction alongside JPMorgan, Citigroup, Goldman Sachs, Standard Chartered, and Sumitomo Mitsui Banking Corporation.

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3

INVESTMENT WATCH

Concentrix to invest USD 1 bn to expand Egypt outsourcing operations

Global outsourcing giant Concentrix will invest USD 1 bn over the next four years to expand its operations in Egypt under an MoU inked with the Information Technology Industry Development Agency (ITIDA), according to a cabinet statement. The four-year plan will see the company create 16k jobs and increase its total workforce to 35k employees by 2028.

Concentrix will also open up shop in Mansoura under the plan, in addition to its 11 currently operating centres across Cairo, Giza, Alexandria, and Hurghada that it has built up since it began operations in the country in 2009. At present, its services are offered in 12 languages and cover sectors from e-commerce to tourism and from healthcare to transportation.

Also in the cards are call centers using voice over internet protocol — known in the industry as VoIP — which the American multinational was granted a license for in November. The other companies that received licenses were Vodafone International Services, Raya CX, Telecom Egypt’s Xceed, Capgemini Egypt, Genpact Egypt, and TTEC.

What they said: “Expanding our operations here is a strategic move that reflects our confidence in Egypt as a rising global business hub. This expansion, which includes an investment of USD 1 bn dollars over the next four years, also underscores our commitment to developing local talent, growing our presence worldwide, and cementing Egypt’s role as a key player in the global outsourcing market,” Concentrix CEO Chris Caldwell said.

This isn’t the only big-ticket outsourcing project we’ve heard about in the last few months, with Madrid-based business process outsourcing (BPO) firm Konecta setting up a regional HQ here as part of a USD 100 mn three-year investment plan, Foundever upping its investment to EUR 65 mn and hiring an additional 4k Egyptians, and Deloitte launching its new innovation hub in Cairo and pledging a three-year USD 30 mn investment to employ 5k of the country’s “top-tier talent.”

Remember, the government wants to see digital exports bring in USD 9 bn into the economy annually as of 2026 and then up to USD 13 bn by 2030. We’re yet to hear the most recent figures for 2024, but Egypt’s digital exports brought in USD 6.2 bn in 2023, up 26.5% y-o-y from 2022. The figure includes outsourcing exports — think call centers and human resource centers — which accounted for over half of the digital exports in 2023, standing at USD 3.7 bn, up 54% y-o-y.

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4

Manufacturing

Arab Organization for Industrialization to set up another USD 100 mn solar panel factory

AOI has another solar panel factory up its sleeve: Arab Organization for Industrialization (AOI) is reportedly looking to set up another solar panel manufacturing facility — a USD 100 mn factory in partnership with Omani investors, AlMal reports, citing unnamed government sources.

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

What we know: The factory will have a production capacity of 300 MW, most of which will go to Gulf markets with a smaller percentage feeding the local market, according to the sources.

AOI has another solar panel manufacturing project brewing: The state-backed organization inked an agreement with Sweden's Sunshine Pro last month to build a joint solar panel manufacturing project, with investments of USD 200-300 mn. The project will have a production capacity of 1 GW of panels when fully operational, all of which will be exported to European markets. The facility will kick off operations in July.

Remember: AOI head Mokhtar Abdel Latif told Al Mal last week that AOI is ready to establish more partnerships with both foreign and Arab investors on solar panel production.

Localizing solar panels? Localizing the manufacture of PV cells is on the Madboulygovernment’s agenda — it is one of 12 products the government wants to begin manufacturing locally. We dove into why Egypt should double down on manufacturing solar panels in a Going Green published last year.

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5

Moves

Dalia El Baz starts her term as Egypt Post chair

Dalia El Baz (LinkedIn) kicked off her one-year term as Egypt Post chairperson on Monday, following directives from Prime Minister Moustafa Madbouly. El Baz is taking over from Sherif Farouk, who was named Supply Minister in the latest cabinet shuffle. El Baz brings over 30 years of experience to the position — she held leadership positions at the NBE and Barclays.

Remember: CIT Minister Amr Talaat tapped El Baz as interim chairperson of Egypt Post and CIT Minister advisor for postal services in October.

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6

LAST NIGHT’S TALK SHOWS

Trump’s claims of El Sisi phone call rejected and ridiculed on the airwaves

“Trump is the only one talking about this call, but it simply did not happen," Sherif Amer said on his show Yahduth Fi Misr in response to claims by the US president on Monday that he had spoken to President Abdel Fattah El Sisi to urge him to take in Palestinians as part of his proposal to “clean out” the enclave (watch, runtime: 2:16). "The White House and the US State Department follow strict protocols that require issuing an official statement after any call involving the American president. So far, there is no official information or indication of such a call between Trump and El Sisi from the relevant authorities in either Egypt or the US,” he added.

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

“I have never seen lying reach the level of heads of state…We are living in an age of wonders,” political commentator Mostafa El Feki told Sherif Amer (watch, runtime: 22:25). The news was covered across the airwaves, including by Lamees El Hadidi on Kelma Akhira (watch, runtime: 5:53) and Mohamed Sherdy on Al Hayah Al Youm (watch, runtime: 2:53).

The nation’s hosts also continued to lambast Trump’s call to ethnically cleanse the strip, with Lamees El Hadidi covering the topic for a third night in a row and painting the proposal as “unrealistic and dangerous” on Kelma Akhira (watch, runtime: 1:03). Regular pundits also joined in, like El Fiki, who told Amer that "Trump's proposals are unacceptable, widely rejected in the Arab world, and pose a threat to peace and security in the region, potentially leading to disastrous consequences."

Like many of her fellow hosts, El Hadidi called for a unified Arab response, telling her audience that “the region cannot afford more instability, and this idea is a recipe for disaster.” (watch, runtime: 1:23).

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7

Also on our Radar

Gov’t on the lookout for new partner for USD 2.3 bn pumped storage hydropower project in Ataka. PLUS: Kuwait Finance House Bank, Dsquares + Prepit, CI Capital, Aria Technologies, MM Group, Coca Cola

RENEWABLES-

Egypt plans to reintroduce its USD 2.3 bn pumped storage hydropower project at Ataka Mountain to investors after the offer was withdrawn from China's SinoHydro due to funding issues, a government official told Asharq Business. The Chinese state-owned company initially inked an agreement to build the 2.4 GW project all the way back in 2015.

Reoffering the project already seems to be going well, with Indian, Chinese, and European companies reportedly showing initial interest in the project.

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

SOUND SMART: Pumped storage hydropower works by using surplus electricity to pump water uphill into a reservoir in periods of low demand or high supply, releasing it downhill through turbines to generate electricity when demand rises or supply falls. This energy storage method allows networks that rely on solar and wind power to keep the lights on even when the wind drops or the sun goes down.

Ataka isn’t the only pumped storage hydropower project in the pipeline, with the government reportedly having wrapped up studies for two pumped storage hydropower projects in Luxor and Qena with a combined capacity of 2 GW and price tag of up to USD 2.5 bn.

BANKING-

Ahli United Bank’s Egypt arm has rebranded as Kuwait Finance House Bank (KFH Egypt), parent company Kuwait Finance House Chairman Hamad Al Marzouq said yesterday during a press conference attended by EnterpriseAM.

The newly rebranded entity is planning to launch a new range of Sharia-compliant services in the country, which Al Marzouq described as "a promising market with great growth potential” at the presser.

Remember: Kuwait Finance House acquired Bahrain’s Ahli United Bank in 2022 in a USD 11.6 bn agreement, creating a combined entity which then held some USD 115 bn in assets — making it one of the Gulf’s largest lenders. Its new owner completed moving the bank entirely over to Islamic banking as of last September, as detailed in a statement (pdf) accompanying the rebrand.

M&A-

Egyptian loyalty program developer Dsquares has acquired 51% of Egyptian startup Prepit to expand the provision of affordable loyalty programs for SMEs, CEO Marwan Kenawy told Al Borsa. The seven figure acquisition will help integrate the two companies and support expansion plans into Saudi Arabia, followed by Jordan.

INVESTMENT-

CI Capital Asset Management has successfully closed the subscription for its sectoralequity investment fund (aka CI-ctor) on Monday, after receiving strong investor demand. The EGP 50 mn fund is designed to cater to investors seeking exposure to sector-focused investments in EGX-listed companies. CI Capital Holding’s share price rose 0.85% to EGP 5.90 by yesterday’s close.

The fund will allocate capital across five sectoral issuances covering real estate and construction, technology and communications, export sectors, consumer sectors, and digital payments. Investors should be able to purchase and redeem units daily starting next month.

EXPANSION-

Industrial robot manufacturer Aria Technologies plans to launch a factory in Saudi Arabia by the end of 2025, sales manager Mohamed El Kholy told Al Mal. The Giza Systems subsidiary will launch the factory with an initial production capacity of 50-60 robots per year, followed by a plan to increase output by 15-20% annually.

The company is also weighing options for domestic growth, with Badr City and Tenth of Ramadan City under consideration for a new factory, according to El Kholy. A decision is expected by the end of the first quarter of the year, clearing the path for construction to commence in the second half of the year.

AUTOMOTIVE-

MM Group for Industry and International Trade will be supercar maker Lamborghini’s official Egypt representative, under an agreement inked between the two, according to a statement(pdf). The company’s first showroom for Automobili Lamborghini and service center in Cairo is set to open by 2Q 2025.

Market reax: Following the news, the company’s share price rose 4.2% to EGP 7.4 a share by the end of trading yesterday.

LOGISTICS-

Trial operations at the Suez Canal Container Terminal’s expanded East Port Said facilities will start in April, according to a Suez Canal Economic Zone statement. The expansion will increase capacity from 5 mn to 7 mn TEUs annually. AP Moller-Maersk signed a USD 500 mn agreement with the SCZone in 2022 to expand East Port Said port by 40% by building the new berth to add an extra 2 mn TEU of annual capacity.

Sound smart: A TEU is the standard unit for a shipping container — the corrugated metal things you’ve seen being hauled on highways, stacked in ports, and carried on the deck of vessels. It stands for a twenty-foot equivalent unit.

LEGISLATION-

The House of Representatives approved a USD 500 mn loan from the World Bank’s International Bank for Reconstruction and Development, which will support Egypt's budget, enhance economic competitiveness, and help with the country’s green transition. However, the loan was met with criticism from some corners of the House, with MP Ahmed Farghali describing the loan “as another piece of evidence that the government is still involved in excessive borrowing” and MP Ahmed El Sharkawy arguing that its 35 year repayment period means “it’s the next generations who will bear the burden of this loan.”

MANUFACTURING-

Coca-Cola HBC officially launched operations of its new USD 31.5 mn production line in its Sadat City facility, according to an Industry Ministry statement. The new production line has an annual output capacity of 172 mn liters and relies on 95% locally sourced components, with its production set to primarily serve the domestic market with potential for export expansion.

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8

PLANET FINANCE

PE stakes traded in secondary markets reach a record high in 2024

Private equity stakes traded globally on the secondary market hit a record USD 162 bn last year, up 45% y-o-y, the Financial Times reports, citing a review by investment bank Jefferies. The trend comes as investors exit PE funds in response to a protracted dryspell in new big-ticket acquisitions leads, while fund managers themselves are increasingly offloading stakes to new funds.

By the numbers: Volumes represent a 20% increase compared to the previous peak in 2021, when the pandemic triggered a global sell-off. Private capital firms also recorded a 44% y-o-y increase in asset sales at USD 75 bn in 2024, often using continuation vehicles — selling assets within the same firm.

The rationale: The move to the secondary market comes as funds are struggling to exit investments via IPOs or other transactions that offer appealing valuations, limiting their access to liquidity needed to pay fund backers, the FT said. Higher interest rates and lower consumer spending also increased pressures on PE funds, as a record number of private equity-backed firms in the US filed for bankruptcy last year, a study by S&P showed.

The Trump era may alleviate some pressure: Antitrust regulations in the US and Europe in recent years have also limited M&A activity and made exits even harder. However, economists are predicting that President Trump’s second tenure promises a more business friendly regulatory environment.

Anticipation of Trump’s pro-business policies led investors to sell stakes at a smaller discount, 6% below net asset value, compared to 9% the year before, signalling confidence in an upcoming recovery of M&A activity that will facilitate exits, the FT reported.

MARKETS THIS MORNING-

It’s a calm morning as most Asian markets are closed for the Lunar New Year holiday, except for Japan’s Nikkei, which is up 0.6%. Meanwhile, Wall Street futures are unchanged as investors anticipate the Fed’s decisions on interest rates.

EGX30

29,647

-0.3% (YTD: -0.3%)

USD (CBE)

Buy 50.13

Sell 50.26

USD (CIB)

Buy 50.17

Sell 50.27

Interest rates (CBE)

27.25% deposit

28.25% lending

Tadawul

12,421

+0.4% (YTD: +3.2%)

ADX

9,550

-0.03% (YTD: +1.4%)

DFM

5177

-0.3% (YTD: +0.4%)

S&P 500

6068

+0.9% (YTD: +3.2%)

FTSE 100

8534

+0.4% (YTD: +4.4%)

Euro Stoxx 50

5196

+0.1% (YTD: +6.1%)

Brent crude

USD 77.49

+0.5%

Natural gas (Nymex)

USD 3.32

-4.3%

Gold

USD 2794.60

+1.0%

BTC

USD 101,293.60

-0.4% (YTD: +8.0%)

THE CLOSING BELL-

The EGX30 fell 0.3% at yesterday’s close on turnover of EGP 3.7 bn (2.9% below the 90-day average). Local investors were the sole net sellers. The index is down 0.3% YTD.

In the green: AMOC (+3.4%), Heliopolis Housing (+2.6%), and Orascom Construction (+1.1%).

In the red: Elsewedy Electric (-3.0%), TMG Holding (-1.8%), and Juhayna (-1.1%).

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Our weekly deep-dive into infrastructure in Egypt.

Published every Wednesday in EnterpriseAM.

Read Hardhat
9

HARDHAT

What are the government’s plans for Downtown Cairo post-revamp?

Gov’t mulls establishing new authority to manage Downtown Cairo revamp: The government has proposals in the works to establish a new independent authority that would be responsible for managing, operating, and realizing Downtown Cairo’s potential following its restoration, government sources tell EnterpriseAM.

Remember: The Sovereign Fund of Egypt is in charge of a plan to revamp Downtown Cairo, which it is developing alongside the European Bank for Reconstruction and Development and two other international advisers.

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

Madbouly highlighted Downtown revamp as one of two mega tourism projects in the pipeline: “We are currently putting the final touches on two very large tourism projects with the aim of doubling hotel capacity in the area surrounding the Giza Pyramids, the Grand Egyptian Museum, and downtown,” Prime Minister Moustafa Madbouly said last month.

The plan for the area includes the privatization of former ministerial HQs: With government ministries and authorities moving to the new capital, the government has sought to find ways to take advantage of its numerous now empty properties in the heart of downtown. The government transferred its ownership of a set of ministerial headquarters to the Sovereign Fund of Egypt last year in its efforts to sell off or repurpose the properties, which included the headquarters of the Foreign Ministry on the Nile Corniche, the headquarters for the ministries of trade, tourism, transport, justice, education, housing, health, supply, social solidarity, and military production.

The Mogamma may also soon be a place you actually want to visit: Work is underway to turn the Mogamma Tahrir building into a 450-room, five-star hotel under the brand Cairo House Hotel.

There’s even been talk of a skyscraper: Former SFE boss Ayman Soliman in comments to thepress “did not rule out” reports that a skyscraper could be constructed on the former headquarters of the National Democratic Party next to the Egyptian Museum. The former Interior Ministry compound will be turned into a business park that will cater primarily to startups and tourism and is set to include a three-star Moxy hotel by Marriott, Soliman added.

But economic headwinds over the last several years have presented setbacks: As a case in point, back in August a consortium of the UAE’s Al Shafar General Contracting (ASGC) Group and Saudi Egyptian Developers (SED) backed out of an agreement to work on the USD 5 bn redevelopment of the former National Democratic Party (NDP) headquarters in central Cairo due to increased construction costs following the EGP float.

The new Madbouly gov’t continues to be committed to the project: Despite the substantial costs incurred amid inflation and currency fluctuations, the government is committed to completing the redevelopment efforts despite a jump in total costs to EGP 80 bn, a senior Housing Ministry official told us. Prime Minister Moustafa Madbouly has also highlighted the importance of renewing Downtown Cairo and optimizing use of the area, particularly following the relocation of ministries to the new administrative capital.

That’s where the new authority comes in: The new entity is envisioned as overseeing the investment management of the redeveloped areas, with the authority authorized to issue tenders, receive investment proposals, and conduct feasibility studies to identify possible investments.

Paving the way for investments, tourism expansion: Creating an institutional framework for managing the district’s assets is at the top of the ministry’s list of priorities, Housing Minister Sherif El Sherbiny noted. The ministry’s plan focuses primarily on enhancing the investment environment in the area, while also situating its redevelopment within plans to strengthen Egypt’s tourism industry and market Cairo as a travel destination.

The geographic remit: The new authority would oversee an area spanning 20k feddans in central Cairo — encompassing the area between the Nile and the Citadel to the southeast and Azbakeya and Attaba to the southwest.

A new working group to check up on the plan’s progress: PM Madbouly has assigned a working group to propose mechanisms for implementing the plan and achieving its goals.

There’s one catch — the new authority will need legislative approval to take over the redevelopment process. In the meantime, a temporary administrative body composed of various government entities operating under the auspices of the Sovereign Fund of Egypt will continue to oversee the area’s operations.

Your top infrastructure stories for the week:

  • Taqa Arabia to power the Golden Triangle Zone: Taqa Arabia is set to developutilities for the Golden Triangle Economic Zone in Safaga, including electricity, gas, water, and waste management.
  • TE activates 2Africa’s Mediterranean link: Telecom Egypt (TE) and Cisco haveactivated a Mediterranean subsea link on the 45k km 2Africa subsea cable, creating a high-capacity connection between Port Said and Marseille via Genoa in Italy.
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CALENDAR

JANUARY

23 January- 5 February (Thursday-Wednesday): Cairo International Book Fair, Egypt International Exhibitions Center, Cairo

28-29 January (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

29 January - 8 February (Wednesday-Saturday): Business Ya Shabab exhibition, Cairo Stadium

Health Ministry finalizes partnership with Gustave Roussy to operate Dar El Salam Hospital.

Building permit applications in Egypt's new cities will go online

Accor Group to open Sofitel Cairo Downtown Nile, the world’s largest Sofitel.

Egyptian National Railways to launch tender for Tanta-Mansoura-Damietta railway line upgrades

Food products will require food safety and validity certificates from the National Food Safety Authority (NFSA)

Bavarian delegation visit to Egypt

FEBRUARY

BP to bring the second well of its Raven natural gas project online, with additional production capacity expected.

Orascom Pyramids Entertainment to bring total investments in the Pyramids Plateau to EGP 1.5 bn.

Subscription period for Your Home in Egypt initiative opens.

2 February: Energy Day Conference, Cairo, Egypt.

13-17 February (Thursday-Monday): The 10th Annual Conference of the Businesswomen of Egypt 21 Association, the Arab League HQ, Cairo.

17 February: (Monday): Cypriot President Nikos Christodoulides will visit Egypt to sign agreements to transport Cypriot gas to Egypt to be liquefied and exported.

17-19 February (Monday-Wednesday): EGYPES Technical Conference, Egypt International Exhibition Center, Cairo, Egypt.

18-19 February (Saturday-Sunday): German-Egyptian Joint Economic Committee meetings, Cairo, Egypt

20 February (Thursday): Monetary Policy Committee's first meeting.

MARCH

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

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.

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

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

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

MAY

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

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

25 December 2025 (Thursday): Monetary Policy Committee’s eighth meeting.

December 2025: 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: 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: 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: 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

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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