IMF Board to sign off on our fourth review today

Monday, 10 Mar 2025

IMF Board to sign off on our fourth review today

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Today at a glance

What We're Tracking Today

IMF to sign off on our fourth review today.

Economy

A steady flow of inflows is one of the main highlights of the economy post float -Capital Economics.

Energy

Gov’t sets conditions for its LNG imports ahead of summer 2025.

EARNINGS WATCH

Palm Hills, Madinet Masr, Edita report 2024 earnings.

ALSO ON OUR RADAR

China’s Di Seta breaks ground on USD 40 mn factory in Qantara West.

PLANET FINANCE

All eyes are on US inflation data this week, while China faces deflationary pressures.

BLACKBOARD

Foundation year plan stalls as universities await decision on baccalaureate system.

What We're Tracking Today

IMF to sign off on Egypt’s fourth review today

Good morning, friends. In today’s issue we look at the new conditions the government has set for LNG imports as well as Capital Economics’ two cents on Egypt’s economic progress one year out from the float of the EGP.

So, when do we eat? Maghrib prayers are at 6pm in the capital, and you’ll have until 4:43am tomorrow to hydrate and caffeinate ahead of fajr.

WEATHER- It’s going to be another sunny day in Cairo, with a high of 25°C and a low of 14°C, according to our favorite weather app. Alexandria will be just as nice, with a high of 24°C and a low of 13°C.

BUT FIRST- We’re looking for an ambitious Head of People and Culture to help us grow in Egypt, the Middle East, and beyond.

What’s the job? We’re looking for someone to build a lead a tightly-focused team that will:

Hire dozens of journalists for our market-leading publications — existing and upcoming alike;
Identify our next generation of investor relations and strategic comms analysts;
Make sure we engage with, motivate, reward, train, and promote our best people across all disciplines;
Help us drive cultural change in a fast-shifting environment;
Make sure our policies and procedures are fit-for-purpose.

^^ The role is based at our head office in Cairo, but covers staff in Egypt as well as in our growing network of bureaus around the region. Most of our positions also include the flexibility for folks who have proven themselves to work remotely some days of the week.

Who are we? We’re a fast-growing regional business intelligence and analysis platform and MENA’s most hands-on investor relations and strategic comms business. Our news team produces EnterpriseAM for Egypt, the UAE, Saudi Arabia as well as EnterpriseOne, our flagship intelligence and advisory product. Our separate investor relations team works with top clients in the UAE, Saudi Arabia, Egypt, Bahrain, and beyond, and our Enterprise Studio helps make our news division’s partners “sound as smart as Enterprise.” We are also the proud publisher of EnterpriseAM Logistics, EnterpriseAM Climate, and of the EnterpriseAM Forum (Egypt’s most important business event for C-suite execs). We’re ambitious, reliable, and have a low tolerance for BS — and value curious people who are creative and love what they do.

What do we offer? The chance to build a once-in-a-generation business that helps some of the world’s smartest business leaders do better in work and life every weekday. We’ll challenge you, make you laugh out loud, reward you properly, and give you the chance to do some of the best work of your career.

Want to apply? Drop Patrick, our editor-in-chief and managing partner, an email at newjobs@enterprise.news. Use the body of your email as a cover letter and tell me why you think you’re the right person for the job, and please do attach a CV.

HAPPENING TODAY-

#1- The IMF is set to sign off on the fourth review of Egypt’s USD 8 bn loan program when the Fund’s Executive Board meets today, giving the final greenlight to a USD 1.2 bn tranche — the largest tranche of the program so far. Also on the agenda are Egypt’s requests to relax some timelines and other terms of the agreement.

A further USD 1.3 bn could also be on the table, with the Board set to discuss approving the funds under the Resilience and Sustainability Facility during its meeting.

#2- Will the inflation momentum slowdown continue? Economists, policymakers, and private sector players will be eagerly awaiting the country’s latest inflation figures for February set to be released by state statistics agency Capmas later today. Annual headline urban inflation edged down to 24.0% in January — a smaller-than-expected decrease, which nonetheless marked its lowest level since December 2022.

Most analysts polled by EnterpriseAM forecast a sharp drop, with the median forecast of the ten analysts polled expecting annual headline urban inflation to fall to 14.3% — nearly a 10 percentage point drop from the previous month on the back of a favorable base effect. However, not everyone was so optimistic, with some predicting that the data would only see a marginal decrease and stay above the 20% mark.

#3- Today is the last chance for investors to apply for over 2.1k industrial land plots across 22 governorates via the Egypt Industrial Digital Platform in a ten-day offering that kicked off at the start of the month.

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

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ICYMI- Missed this week’s Inside Industry? In our weekly vertical exploring all things industry and manufacturing, we looked at how Turkish investors are leading the investment charge in Egypt with plans to inject USD 5 bn into Egypt over the next two years. Check out the story here.

CIRCLE YOUR CALENDAR-

Giza Zoo and Orman Botanical Gardens will re-open their doors to the public in September, H adayeiq — the company leading the development of the two sites — said in a statement (pdf).

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

THE BIG STORY ABROAD-

It’s a quiet Monday morning in the global press, with no single story dominating the headlines. Among those worth noting:

#1- Ceasefire talks to bear fruit? A US envoy believes Hamas and Israel could reach a new ceasefire agreement within weeks. “I will say that I believe there is enough there to make a deal between what Hamas wants and what they’ve accepted and what Israel wants and it’s accepted,” envoy for hostages Adam Boehler told CNN’s State of the Union yesterday after holding talks with Hamas representatives. The new ceasefire agreement will see Hamas release the remaining 59 Israeli hostages.

IN CONTEXT- The news comes following Israel cutting electricity supplies to Gaza, which comes only days after Israel started blocking the entry of all humanitarian aid into Gaza in an effort to pressure Hamas into accepting amendments to the truce agreement. (Bloomberg | BBC | AP)

#2- Canada selects new prime minister: Former Governor of the Bank of Canada Mark Carney was elected to succeed Justin Trudeau as prime minister by the country’s Liberal Party. Carney will take office amid tensions with the US under President Donald Trump, who has recently slapped new trade restrictions on Canadian exports. (Reuters | AP | The Guardian | CNN)

*** It’s Blackboard day: We have our weekly look at the business of education in Egypt, from pre-K through the highest reaches of higher ed.

In today’s issue: We explore the road ahead for the undergraduate foundation year program, which faces an uncertain future as policymakers discuss how to proceed with the proposed baccalaureate system and how it could impact the need for the program.

Tags:

IMF WHAT WE’RE TRACKING TODAY

Somabay partners with Marriott International to launch an Autograph Collection Hotel, opening in 2027 with 194 sea-view rooms, world-class dining, and wellness facilities. This marks its second collaboration with Marriott after Sheraton Soma Bay (1999). Somabay is home to a collection of renowned hotels, including Kempinski, The Cascades, Robinson Club, and The Breakers, offering a diverse range of luxury, wellness, and lifestyle experiences along the Red Sea.

Economy

A steady flow of inflows is one of the main highlights of Egypt’s economy post float -Capital Economics

Capital Economics gives Egypt a progress report: London-based research outfit Capital Economics’ MENA team hosted a 20-minute briefing (watch, runtime: 22:51) discussing Egypt’s progress on implementing economic reforms and policy one year after the Central Bank of Egypt’s decision to float the EGP and adopt a flexible exchange rate regime. The research unit delved into the latest policy decisions and the persisting challenges, before giving its two cents on the big questions that pertain to Egypt’s economy moving forward.

The shift in policy has begun to bear fruit: “We are starting to see the tides turn. The policy shift has allowed for a steady flow of capital inflows into Egypt, it’s becoming more stably financed by direct investment inflows, we’re seeing news about foreign companies investing more and taking more on in terms of expanding activities, and we’re also starting to see certain exports perform better,” senior economist James Swanston said, “This has reflected in recent PMI readings as well,” Swanston added.

Remember: Egypt’s non-oil business activity continued to see expansion for the second month running in February — but at a slower pace — in what marked the first back-to-back improvement in business conditions in over four years. The data reflects the best opening two months of the year in the survey's history.

But progress on some fronts has stalled due to a number of factors: Loss of Suez Canal revenues has had a strain on Egypt’s balance of payments, and has coincided with the near-term impact of the float of the EGP — imports became more costly, and the impact of the country’s external capacity for exports haven’t been felt yet. Meanwhile, the tightening of fiscal policy, interest rate hikes, and inflation have caused a slowdown in economic growth.

Thankfully, however, it’s not looking like it will be a repeat of 2016: Egypt “appears to have loosened its grip on its currency, allowing it to move more freely” — at the same time, fiscal policy has remained tight, “which is one area where they have made sustained progress since 2016,” the firm’s deputy chief emerging markets economist Jason Tuvey said. Comparative progress on the privatization program, and apparent attempts at reducing the military’s footprint in the economy are other key factors, he added.

And this is making investors more confident in Egypt’s economy: The EGP being allowed to move more freely is a key aspect of the government’s new approach that is giving the wider reform agenda credibility at home and abroad, Swanston said. The approach also reassures foreign investors that they can plan investments with the knowledge that the EGP’s exchange rate reflects the actual price you can sell it for and that there shouldn’t be any heavy devaluations down the line.

The forecasted post-devaluation FDI boom didn’t materialize as many had hoped, but the longer term view is positive: “We expect slow and steady progress on reforms, and we expect FDI to slowly creep up in Egypt. We’ve seen some tentative signs that firms are taking more interest in Egypt,” Tuvey said.

There’s also no evidence of the EGP being overvalued: Capital Economics sees the currency weakening to EGP 55 against the greenback by the end of this year. However, “we could be in for a surprise with all the capital inflows. If exports start to perform better, the currency could appreciate,” Swanston added.

Inflation targets may also soon be in reach: Capital Economics also expects inflation to slow down to the CBE’s target of an average of 7% ±2 percentage points over the coming months, and hover around that range over the course of the year, according to Swanston. Lower inflation will then prompt the CBE to begin its loosening cycle in April, he added.

Slowing inflation will have a big role to play in the next Monetary Policy Committee meeting: “Previous statements by the CBE have pointed at wanting to see a sharper and sustained fall in the headline inflation rate, and with earlier falls in the EGP now falling out of the annual price comparison, we suspect that February and March's inflation data will provide policymakers with the evidence to loosen monetary policy,” Swanston previously told EnterpriseAM.

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economy foreign exchange

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Energy

Government sets conditions for its LNG imports ahead of summer 2025

Egypt has reportedly set a pricing and payment mechanism for securing LNG supply agreements for the summer months, an unnamed government official told Asharq Business. Egyptian Natural Gas Holding Company (Egas) sent the conditions to global LNG suppliers in a bid to secure direct contract offers instead of issuing public tenders.

The conditions:

Price cap: Egypt will only consider LNG offers if the price does not exceed USD 14 per mn British thermal units (BTU);
Deferred payments: Suppliers must agree to a one-year grace period before receiving payments;
Overprice charges: Egypt will pay some USD 2 per mn BTU above the purchase spot for natural gas as a premium for securing deferred payment agreements;
Restricting suppliers: No Russian LNG imports are allowed due to EU sanctions.

Egypt aims to import 155-160 shipments of LNG in 2025 to close the gap between demand and supply, the official said. Egypt needs around 6.2 bn cubic feet per day (bcf/d), but domestic production only contributes 4.4 bcf/d.

Tags:

Egyptian Natural Gas Holding Company energy oil and gas

EARNINGS WATCH

Palm Hills, Madinet Masr, Edita report 2024 earnings

Earnings, earnings, earnings. More companies are out with their 2024 earnings — we have the annual earnings of real estate giants Palm Hills Developments and Madinet Masr, as well as coverage of Edita Food Industries’ financials for the year.

PALM HILLS’ NET INCOME MORE THAN DOUBLES IN 2024-

Local real estate giant Palm Hills Developments’ net income rose 106% y-o-y in 2024 to EGP 3.3 bn, the company said in its latest earnings release (pdf). During the same period, revenue rose 56% y-o-y to EGP 27.2 bn, which the company attributes to an increase in new sales and the delivery of units in its Badya, Palm Hills New Cairo, Palm Hills Alexandria, and the Crown projects. Sales for the 12-month period came in at EGP 151 bn, marking a 154% y-o-y increase.

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

A record year: “We are pleased to report another successful year, achieving the highest ever sales, revenue, and profit in the company’s history. We are extremely proud of our 2024 results,” Executive Chairman Yasseen Mansour said.

On a quarterly basis, net income came 72% y-o-y higher at EGP 914 mn in 4Q 2024, while revenue rose 49% to EGP 9.2 bn during the same period.

Looking ahead: “We have stepped into 2025 with strength and confidence, believing this will be another exciting year for Palm Hills. We are preparing for new developments and opportunities through strategic moves, remaining committed to unveiling innovative projects and unparalleled offerings that will shape the long-term trajectory of our company. Furthermore, we anticipate that any favorable policy shifts will contribute to stimulating both the economy and the sector in 2025,” said Mansour.

MADINET MASR CLOSES RECORD 2024-

Real estate developer Madinet Masr’s net income increased 33.3% y-o-y in 2024 to reach EGP 2.8 bn — an all-time high for the company — according to the company’s latest earnings release (pdf). The rise in net income was supported by revenue growth of 7.2% y-o-y to EGP 8.2 bn, driven by “sustained demand and strong contracted sales.” The company recorded EGP 41 bn in contracted sales last year, a 37.1% y-o-y increase.

On a quarterly basis, the developer’s net income dropped 65.6% y-o-y to EGP 262.7 mn in 4Q 2024, revenues fell 70.2% y-o-y to EGP 952.5 mn, and contracted sales stood at EGP 8.3 bn. The release points to EGP 5.2 bn in contracted sales from The Butterfly and Zahw Assiut projects not being recognized as revenue — since they’re being deferred until unit delivery — as the reason behind the dip during the quarter.

Looking ahead: “As we move into 2025, we are confident in our ability to sustain this momentum. Our focus remains on expanding our development projects, enhancing our product offerings, and maintaining financial strength. With a solid pipeline of projects and a proactive approach to market trends, Madinet Masr is well-positioned for continued growth and value creation in the years ahead,” said CEO Abdallah Sallam.

Madinet Masr will pay out a dividend of EGP 0.25 per share for its 2024 earnings, pending approval from its general assembly, an EGX disclosure (pdf) reads. The board also approved buying back 85.4 mn treasury shares — equivalent to 4% of total shares — through open market transactions, funded internally.

EDITA SEES RECORD REVENUES IN 2024-

Edita ends the year with a jump in revenues and a dip in income: Edita Food Industries saw its revenues jump 33.2% y-o-y to EGP 16.1 bn in 2024, “primarily driven by repricing initiatives following the devaluation …and growing volumes in high potential segments,” according to the company’s earning release (pdf). The snackmaker saw its net income dip 6.1% y-o-y to record EGP 1.4 bn.

Behind the dip in net income: The release pointed to higher costs on the back of the float, elevated interest rates, and a rise in expenses to support expansion plans as the main reasons behind net income falling during the year.

And behind the jump in revenues: The cake segment was the biggest contributor to the company’s topline for the year, with sales making up 51.3% of the total figures. It was followed by the bakery (28.8%), wafers (10.7%), and rusks (4.5%) segments. Cake revenues saw a modest 37.1% y-o-y growth to record EGP 8.3 bn, bakery revenues were up 14.5% y-o-y during the year to record EGP 4.7 bn, and revenues from wafers were up 60.8% to reach EGP 1.7 bn.

Higher prices were behind the increase: The year saw a “38.4% y-o-y increase in the average price per pack to EGP 4.20. The average price per ton also rose by 38.0% y-o-y. Meanwhile, the total number of packs sold declined by 3.8% y-o-y to 3.8 bn packs, primarily due to lower volumes in the cake, bakery, and rusks segments,” according to the release.

In 4Q: Edita recorded revenues of EGP 4.2 bn, reflecting a 25.9% y-o-y increase. Meanwhile, net income for the quarter declined 4.8% y-o-y to EGP 308.5 mn.

Exports played a key role: The company’s net export sales rose 42.1% y-o-y during the year to reach EGP 1.6 bn. Additionally, Edita Morocco’s revenue saw a 45.8% y-o-y increase to EGP 475.6 mn.

MOPCO SEES NET INCOME RISE 153%-

Misr Fertilizer Production Company’s (Mopco) net income after tax rose 153% y-o-y to EGP 15.1 bn in 2024, the fertilizer giant said in a disclosure (pdf). The statement attributed the increase to an EGP 7.1 bn rise in FX conversion gains from the year before in addition to a EGP 1.4 bn increase in financial revenue. The company’s sales grew 230% y-o-y to EGP 19.7 bn during the same period.

Tags:

earnings earnings watch Edita Madinet Masr Palm Hills Developments real estate

ALSO ON OUR RADAR

China’s Di Seta breaks ground on USD 40 mn factory in Egypt

MANUFACTURING-

Qantara West is getting another USD 40 mn project: Chinese firm Di Seta has begun construction work on a USD 40 mn ready-made garments factory in the Qantara West Industrial Zone, according to a Suez Canal Industrial Zone statement. The 83k sqm factory is expected to begin operations in September and create some 1.2k direct jobs.

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

INDUSTRY-

IDG launches 1.6 mn sqm industrial offering in New October: Industrial Development Group (IDG) has begun offering 1.6 mn sqm of land for industrial projects in New October City as the first phase in the development of a 2.6 mn sqm plot secured earlier this year, the company’s Managing Director Shady William told Al Mal. The land had been allocated to IDG by the New Urban Communities Authority back in 2023.

What’s the timeline? IDG plans to deliver plots to investors within a year, according to William. Investors will need 1-2 years to build their factories and launch operations. The first phase of infrastructure development and plot sales is expected to wrap up within 3-4 years.

M&A-

FRA extends Wafa’s deadline for Delta Ins. takeover offer: The Financial Regulatory Authority (FRA) granted Morocco’s Wafa Assurance a 60-day extension starting 4 March to submit a mandatory offer for its planned takeover of Delta Ins., according to a disclosure (pdf). The original offer period was due to expire last week. This comes days after the regulator extended AXA Egypt ’s deadline to submit a competing bid for Delta Ins.

REMEMBER- In December of last year, the two companies registered their interest to buy up to 100% of the Egypt Kuwait Holding subsidiary at an estimated EGP 5 bn valuation.

BANKING-

FABMisr rolls out E-Connect: First Abu Dhabi Bank Misr (FABMisr) has launched a new online banking platform designed to serve multinationals and large corporates — dubbed E-Connect — it said in a press release (pdf). The platform allows companies to manage accounts across multiple banks, track loans and deposits, and generate real-time statements.

Tags:

ALSO ON OUR RADAR AXA Egypt banking Industrial Development Group insurance Manufacturing West Qantara Industrial Zone

PLANET FINANCE

All eyes are on US inflation data this week, while China faces deflationary pressures

The US and China are on opposite inflation tracks — with the US battling stubborn price growth, and China sliding toward deflation. In the US, consumer prices likely rose 3.2% y-o-y in February, reflecting slow but persistent disinflation and keeping the Federal Reserve in a cautious stance, Bloomberg reports. The Bureau of Labor Statistics’ figures will be out this Wednesday.

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

In the US, core CPI is projected to have climbed 0.3% last month, easing slightly from January’s 0.4% gain but still well above the Fed’s 2% target. Producer price data on Thursday and consumer sentiment data on Friday will offer further insight into inflationary pressures. However, with investors awaiting March inflation data for clearer signals on Fed policy, Treasury yields remain elevated amid ongoing uncertainty over rate cuts.

REMEMBER- The country’s inflation risks could worsen. Trump-era trade measures — including 25% duties on steel and aluminum and looming reciprocal tariffs — threaten to push prices higher, further complicating Fed rate-cut bets.

In contrast, China’s inflation slump is deepening, with the country’s consumer price index (CPI) falling 0.7% last month — its first negative reading in 13 months. Its core CPI posted its first decline since 2021 and factory prices fell for a 29th straight month. Goldman Sachs estimates that an early Lunar New Year shaved 0.7 percentage points off February’s CPI reading, but sluggish consumer spending remains the bigger concern. The latest reading raises deflation fears as domestic demand weakens, Bloomberg reports separately.

Beijing has set a 2% inflation target for 2025, its lowest in two decades, and is ramping up stimulus efforts to counter prolonged price declines. Economist David Qu warns of an “urgent need for policymakers to deliver on pledged stimulus quickly,” adding that without strong fiscal and monetary support, “deflationary pressures will continue to weigh on the economy.”

How the rest of the world is faring:

In Europe, inflation is cooling, but the ECB’s next rate move remains uncertain as industrial output shows signs of recovery;
Middle East inflation is stabilizing, with Egypt’s February reading expected to drop sharply from 24%, setting the stage for rate cuts;
In Latin America, Brazil’s inflation surged past 5.1%, likely prompting another rate hike, while Argentina’s price growth is slowing after last year’s crisis;
In Asia, Japan’s wage-driven inflation continues to rise, while India’s cooling consumer prices are fueling speculation of policy easing.

MARKETS THIS MORNING-

Asian markets are rising this morning, with Japan’s Nikkei up in choppy trade, along with South Korea’s Kospi. On the other hand, mainland China’s CSI 300 fell 0.5%, while Hong Kong’s Hang Seng is down 0.6%. Wall Street stocks are expected to open lower, with Nasdaq futures leading the downward move after a volatile week that saw all indexes make significant losses.

EGX30	31,131	+0.6% (YTD: +4.7%)
USD (CBE)	Buy 50.57	Sell 50.71
USD (CIB)	Buy 50.58	Sell 50.68
Interest rates (CBE)	27.25% deposit	28.25% lending
Tadawul	11,837	+0.2% (YTD: -1.7%)
ADX	9,448	-0.9% (YTD: +0.3%)
DFM	5,223	-1.0% (YTD: +1.2%)
S&P 500	5,770	+0.6% (YTD: -1.9%)
FTSE 100	8,680	0.0% (YTD: +6.2%)
Euro Stoxx 50	5,468	-0.9% (YTD: +11.7%)
Brent crude	USD 70.36	+1.3%
Natural gas (Nymex)	USD 4.40	+2.3%
Gold	USD 2,914	-0.4%
BTC	USD 81,173	-6.0% (YTD: -13.1%)

THE CLOSING BELL-

The EGX30 rose 0.6% at yesterday’s close on turnover of EGP 3.5 bn (0.1% below the 90-day average). Local investors were the sole net sellers. The index is up 4.7% YTD.

In the green: Ibnsina Pharma (+9.3%), Madinet Masr (+5.6%), and Rameda (+3.8%).

In the red: Eastern Company (-1.9%), Abu Qir Fertilizers (-1.6%), and Orascom Construction (-1.5%).

CORPORATE ACTIONS-

#1- EKH eyes USD 14 mn capital increase: Egypt Kuwait Holding (EKH) plans to raise its issued and paid-up capital by USD 14.1 mn to USD 295.8 mn, according to a disclosure from the Financial Regulatory Authority (pdf). The company will issue 56.3 mn shares with a nominal value of USD 0.25 each, pending approval from the company's general assembly.

#2- E-finance plans to increase its issued and paid-up capital by EGP 577.8 mn to EGP 1.7 bn through a bonus share issuance, according to a disclosure (pdf) from the FRA. The move awaits the greenlight from the company’s general assembly.

#3- PHG eyes major capital hike: Premium Healthcare Group (PHG), formerly known as City Lab, is planning a capital hike through a 22.8 bn-share issuance at EGP 0.10 per share, it said in an EGX disclosure (pdf). The issuance will bring the firm’s total issued and paid-up capital to EGP 2.4 bn up, from EGP 81.5 mn, while hiking its total authorized capital to EGP 11.4 bn, up from EGP 315 mn. The move is part of the firm’s expansion strategy and broader restructuring plans.

Tags:

economy Financial Markets inflation Planet Finance

Our weekly deep dive into education in Egypt, from K-12 to post-secondary.

Published every Monday in EnterpriseAM.

Read Blackboard

BLACKBOARD

Foundation year plan stalls as universities await decision on baccalaureate system

Higher ed plans for rolling out a foundation year are hanging in the balance: The Higher Education Ministry’s plan to introduce a foundation year system at private and national universities is facing an uncertain future amid a potential remodeling of Thanaweya Amma that could do away with the need for it. Despite the cabinet’s approval in October, the implementation of the foundation year program has been suspended until the completion of community dialogue on the proposed high school baccalaureate system, which would offer similar benefits to students looking to improve their grades, sources at several private universities told EnterpriseAM.

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

REMEMBER- The cabinet in October approved regulatory amendments that would allow private and national universities to accept students who did not meet the minimum admission requirements for their desired faculties by enrolling them in a foundation year starting from the 2024-25 academic year. Plans for a foundation year were first announced by the Higher Education Ministry in May.

Foundation year vs. baccalaureate system — a quick recap: If implemented, the foundation year — an optional program — would allow students to complete additional coursework under a credit-hour system to boost their high school scores, enabling them to enroll in colleges that they couldn't get into. Meanwhile, the baccalaureate system, an alternative to Thanaweya Amma, would allow students two re-takes following their primary exams to improve their grades. It would also cut down on the number of subjects students are required to take and add more tracks.

The framework for the foundation year system is still in the making: The Supreme Council of Universities has put off issuing foundation year guidelines for universities to follow until ongoing community dialogue on the baccalaureate system wraps up, one source told us. Universities were prepared to launch the foundation year in November of last year, which would have enabled students to join their chosen faculties by the second semester of this academic year, the source added. Additionally, a new committee set up by the Supreme Council of Universities had been working to develop these guidelines, a source at the council said.

What community dialogue? The Education Ministry is in talks with several stakeholders to gather recommendations and opinions on the baccalaureate system. The discussions, which have been in progress for weeks over a series of meetings, are scheduled to continue until next month before legislative amendments to the high school law are submitted to parliament. The dialogue involves the Supreme Council of Universities, the Teachers Syndicate, university professors, and over 2.6k school principals and education directors, among other participants.

There are two possible outcomes if the baccalaureate system comes into play. The baccalaureate system could eliminate the need for the foundation year altogether, as it offers an alternative mechanism for students to improve their scores, our sources said. Alternatively, the two systems could be implemented in tandem, with the foundation year remaining optional.

The perks of a dual approach: Our sources indicated that maintaining the foundation year would be particularly useful since its programs align with international curricula, making them suitable for students planning to study abroad or those who would rather take the coursework than retake their final baccalaureate exams. Conversely, the foundation year system could be marketed to compel more students to pursue studies in Egypt rather than abroad — which would cut down on foreign exchange expenditures — or to attract more international students to Egypt’s universities.

ICYMI- The government aims to attract 200k foreign students to local universities by 2030, a move which will help it reach its goal of attracting USD 2 bn in education tourism revenues by then, a source at the Higher Education Ministry previously told EnterpriseAM.

The system will primarily focus on four academic tracks — medicine, engineering, science, and humanities, one of our sources said.

The safeguards behind the system: Exams will be overseen by the Supreme Council of Universities, ensuring students receive additional grades to qualify for their desired specialization. The council will also develop eligibility criteria for universities seeking to offer foundation year programs — including the university’s ability to deliver the program effectively, its standing in local and international rankings, and partnerships with globally recognized universities.

Your top education story for the week- The Central Agency for Organization and Administration will oversee Al Azhar’s teacher recruitment procedures in a bid to create a uniform hiring process for teaching positions across both Al Azhar and the Education Ministry and address teacher shortages at Al Azhar institutions.

Tags:

Blackboard Education

CALENDAR

MARCH

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

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

10 March (Monday): The IMF’s Executive Board will meet to discuss Egypt.

Arla Foods’ deadline for Domty acquisition offer.

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’s 9th edition, Somabay

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.

1 May-10 July (Thursday-Tuesday): 500 Global's Scale Up Program, Cairo

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

Egyptian-Russian Business Forum

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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