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Tuesday, 28 Apr 2026

What We’re Tracking Today
The Big Story Today
Investment Watch
Earnings Watch
Moves
Construction
Also On Our Radar
Planet Finance
Going Green
Calendar

Inbound, ho! US, Turkish, and Chinese companies are piling into Egypt

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Today at a glance

1

The Big Story Today

US-based InvenTel fully acquires adtech startup Amzolute.
2

Investment Watch

Over USD 500 mn worth of Turkish investments coming our way.
3

EARNINGS WATCH

CIRA Education is looking at M&A and westward expansion as it reports rising net income in 1Q.
4

Moves

Contact co-founder Hazem Moussa steps down as chairman after 25-year run as consumer finance pioneer.
5

Construction

Orascom, Arab Contractors to build Jordan’s biggest desalination plant.
6

Also on our Radar

EBRD hands Fawry EGP 250 mn to back small business founders under age 35.
7

Also on our Radar

EFG Holding unit and Infinity in big EV charger push.
8

PLANET FINANCE

MENA M&A activity plunges in 1Q 2026, while global outlook appears rosier.
9

Going Green

Why salt-based batteries could be the key to Egypt’s renewable goals.

Tuesday, 28 Apr 2026

What We’re Tracking Today
The Big Story Today
Investment Watch
Earnings Watch
Moves
Construction
Also On Our Radar
Planet Finance
Going Green
Calendar
1

WHAT WE’RE TRACKING TODAY

Everyone wants a piece of the action

Good morning, friends. We’ve got a packed issue for you today. We are leading this morning with a cross-border M&A and more good news, including the Suez Canal Economic Zone’s ability to lure in Turkish textile giants and Chinese logistics heavyweights.

In other good news: The State-Owned Enterprises Unit is reportedly courting pitches from local investment banks to quarterback its upcoming IPO pipeline.

***

WISH THIS MORNING’S ISSUE was a podcast? We’ve got you. Tap or click here to listen to Morning Drive, a 10-minute version of today’s issue crafted for you to enjoy with your morning coffee, while getting the kids ready for school, or while stomping around the house wondering where the [redacted] you left your [redacted] reading glasses.***

The IPO scrimmage line

Investment bankers are lining up to quarterback the state’s upcoming IPO program. EFG Hermes, CI Capital, Al Ahly Pharos, and Arqaam Capital have reportedly all submitted bids to the State-Owned Enterprises Unit, an unnamed government official told the Arabic press. This interest comes as the state looks to expand its temporary listing pipeline to 30 companies across various sectors before the fiscal year ends in June to keep the IMF onside.

REFRESHER- The government has so far been padding the IPO tape with temporary listings — most recently, El Nasr Housing and Development, Sinai Manganese, and Spring and Transport Equipment Manufacturing earlier this week. These are essentially administrative filings that get companies onto the EGX to satisfy IMF requirements before the real float.

Phase 4 execution of the program stalled at 7.5% — only USD 142 mn of a USD 1.9 bn target. This lull is expected to give way to an uptick in activity in 2H 2026. “Most likely in the second half of this year, we will be back to the IPO momentum. Hopefully, starting with Banque du Caire, which is already [temporarily] listed,” Hany Genena, head of research at Al Ahly Pharos, tells EnterpriseAM.

BdC met strong investor appetite in an early look roadshow before the start of the war in the Gulf, with potential cornerstone investors from the Gulf, London, and New York all expressing strong interest in the story.

Bills, bills, and bills

The Central Bank of Egypt (CBE) tapped its USD-denominated T-bill program yesterday, selling USD 934 mn in 364-day paper at an average yield of 4.0%, according to its website. The new issuance is likely to refinance a USD 985 mn tranche due today. It was priced at an average yield of 4.25% when it was originally auctioned a year ago.

REMEMBER- Back in February — prior to regional tensions — the CBE squeezed borrowing costs down to 3.5% on its 364-day USD paper. That was a big W compared with the 4.25% it was paying the year before. Yesterday’s sale kept that streak alive, albeit at a higher rate.

A play on the Med

The government is moving to build a USD 600 mn integrated petroleum logistics zone at Alexandria Port, a government source tells the Arabic press. The first phase will cover some 300k sqm and include a 900-meter marine berth as part of a wider Greater Alexandria Port development.

What’s next: The Transport and Oil Ministries are still wrapping up contracts, including the usufruct fee payable to the Alexandria Port Authority and a financing structure that blends foreign and local currencies. Full details — including partners and equity splits — are expected to be announced soon.

The Red Sea is already in play: Alongside efforts to rent our warehouses on the Red Sea for crude oil and refined products to AD Ports, we have offered 10 crude and petroleum storage facilities for lease on the east coast to attract oil deliveries from Saudi Arabia, Kuwait, Iraq, and Qatar.

BACKGROUND- We have around 29 mn barrels of spare storage across our main ports — a figure that positions Egypt as a viable option for traders looking for optionality and a strategic location. The country operates 19 commercial ports, 14 under development, and nearly 79 petroleum storage facilities built or upgraded in recent years.

A logistics link with Russia?

The Transport Ministry is mulling a logistics corridor with Russia, connecting container terminals and industrial zones on the Red Sea and the Mediterranean to Russian Black Sea ports and the Northern Sea Route. This emerged during a meeting between the Transport Ministry and Russia’s Maritime Board, which saw the two sides ink an MoU to boost cooperation in the maritime transport sector and localize shipbuilding in Egypt.

Why it matters: A link between the two nations would provide the infrastructure needed to realize Russian President Vladimir Putin’s proposed grain and energy hub in Egypt. The project would position Egypt as a key logistics and storage center for Russian exports to Africa and the Middle East.

PSA

WEATHER- It’s a bit warmer in Cairo today, though still a breezy spring day, with a high of 29°C and a low of 17°C, according to our favorite weather app.

It’s several degrees cooler in Alexandria, with a high of 24°C and a low of 14°C.

Meet EnterpriseAM MENA+, our new flagship newsletter covering the flows of capital, people, and ideas across the Middle East — and beyond it.

MENA+ covers AI and tech — and geopolitics, the war for talent, which BSD is on top (and who's gunning for them), the changing energy economy, new corridors to India and China, and much, much more.

What’s with the “+” in MENA+? We think one of the most powerful stories in the region is the *export* of ideas and capital not just to neighboring regions (Asia, the Stans) but to international financial centers. MENA countries are jockeying for position in the new global economy now taking shape, and we're going to shape that conversation.

Tap or click here to get your own copy delivered to your inbox every Monday, Wednesday, and Friday at 12pm UAE | 11am KSA | 11am Egypt.

The big story abroad

It is a pretty quiet morning on the global front pages, with the latest on the US-Iran negotiations getting top billing.

Where do the peace talks stand? It is unlikely that we’ll see any progress in the talks between the US and Iran anytime soon. US President Donald Trump is reportedly dissatisfied with Iran’s latest proposal, which calls for an end to the US naval blockade, deferring discussions regarding Iran’s nuclear program until after the war is over.

We’ll be waiting to hear from Trump after the White House Press Secretary toldreporters that he will address the matter very soon.

AND- It’s day one of what could be Jerome Powell’s final Fed meeting as Chair. The central bank is widely expected to keep rates unchanged as it looks to limit the impact of the regional war and higher energy prices. It’s a big week for monetary policy, with the central banks of the UK, EU, and Japan set to make rate decisions in the coming days.

Meanwhile, in the world of finance: The value of the fund finance market has balloonedbeyond USD 1 tn, according to a Moody’s Ratings report. The industry is surging as private credit funds multiply and a dealmaking slump forces private equity firms to seek frequent injections of banknotes.

*** It’s Going Green day — your weekly briefing of all things green in Egypt: EnterpriseAM’s green economy vertical focuses each Tuesday on the business of renewable energy and sustainable practices in Egypt, everything from solar and wind energy through to water, waste management, sustainable building practices and how you can make your business greener, whatever the sector.

In today’s issue: We’re exploring Egypt’s potential to pivot from a lithium importer to an energy storage pioneer, leveraging homegrown salt-based batteries to accelerate our renewable buildout.

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From 7–9 May, the Somabay Endurance Festival returns to the Red Sea for Egypt’s leading multi-sport challenge, where swimming, cycling, and running meet one of the region’s most iconic coastal destinations.

This year also introduces a new racing venue and enhanced endurance course experience, elevating the competition and athlete journey even further.

In partnership with The TriFactory, Somabay continues to lead the way in sports tourism, active lifestyle experiences, and world-class events. Register here.

2

The Big Story Today

Amzolute exit

Cairo-based adtech startup Amzolute sold 100% of its business to US-based product commercialization firm InvenTel, its now-former CEO and co-founder Ahmed El Hefny tells EnterpriseAM. Neither party disclosed the terms of the transaction.

Amzolute is a verified Amazon ads partner with direct access to Amazon’s ad stack. The company runs campaigns for over 850 brands in over eight countries, including the US, UK, UAE, and Saudi Arabia, generating some USD 92 mn in client sales with a reported 4.3x average return on ad spend.

SOUND SMART- Think of Amzolute as an intelligence layer for Amazon sellers. It runs their ads, optimizes how their products appear in search, and tweaks pricing and listings to turn traffic into sales.

What caught InvenTel’s attention? The people and the systems. “There are not many teams in the region with this level of expertise in marketplace management at scale… the value was in the combination: strong partnerships, real traction, an incredible team, and systems that made performance more scalable,” Hefny tells us.

Beyond the acquisition: Hefny will no longer have a role in, or involvement in with, the company. Amzolute’s next phase will be centered around building on what already exists and scaling the business through InvenTel’s wider platform and reach, he says.

This is about closing the loop: InvenTel’s job is to brand and market consumer products, moving them through sourcing, commercial production, and direct-response marketing. So, bringing Amzolute in-house is likely a vertical integration play, giving InvenTel direct control over how these products rank, compete, and convert once the customer is on-platform.

The exit follows a string of local plumbing plays snapped up by US buyers. Just last month, US-based AI adtech firm Converted fully acquired fashion marketplace Mitcha, folding its platform and merchant base into a broader data-driven commerce stack. This follows Miami-based Aleph’s 2021 acquisition of an 86% stake in Connect Ads, which marked a dragon exit for A15 and validated Cairo as a high-margin service hub for global digital media.

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3

Investment Watch

Pipelines and benjamins

Chinese and Turkish manufacturers continue to flock to Egypt despite regional fallout from the war in the Gulf and Lebanon.

Turkish manufacturers continue to cement their place in our textile and packaging export strategy. New commitments and a long-term strategy for USD 800 mn in investments were announced this week, with the Suez Canal Economic Zone (SCZone) positioning the Qantara West Industrial Zone as a specialized Turkish enclave.

#1- Turkish industrial heavyweight Eroglu Holding plans to break ground on a landmark USD 400 mn cardboard project next year, according to a ministry statement. The group is planning a long-term investment strategy for expansion and aims to invest over USD 800 mn in Egypt as an export-oriented partner.

#2- A Turkish consortium comprising Yiltem Apparel and Dinamik Raus Tekstil will build a new USD 8 mn garment factory, according to a statement. The 21k-sqm facility will focus on high-tech garment production and specialized fabric dyeing, including organic and natural treatments. Some 90% of the factory’s 400k-piece annual capacity is earmarked for export to European markets.

Why this matters: Turkish manufacturing interest in Egypt is increasingly an important part of the Madbouly government’s plan to ramp up annual exports to USD 145 bn by 2030. Turkish FDI in Egypt — which Matta Beshay, a member of the Egyptian-Turkish Business Council, previously told EnterpriseAM had surpassed USD 3 bn across 1.7k companies — has been focused on export-oriented textile projects. This comes as Turkish investors look to lower production costs and as Egypt’s trade agreements provide preferential access to European, US, Arab, and African markets.

PLUS- Polaris puts pen to paper for USD 120 mn complex: Turkey’s Polaris Parks signed an agreement with the Administrative Capital for Urban Development to establish a USD 120 mn industrial complex. The agreement builds on the partnership agreement inked between the two sides for the project last month. At the time, the project was said to be expected to attract USD 2 bn in investment and go online in two years.

The China trade drive continues

A Chinese business delegation is proposing to build out a multi-bn USD pipeline of projects in the SCZone, spanning Sokhna to the New Capital, according to a cabinet statement. The proposals include a smart container terminal, an FMCG and chemicals industrial zone, and an integrated trade city.

#1- Smart terminal: Jiangsu Province Ports Group and Shanghai Huanshi Logistics are mulling a USD 400 mn smart container terminal at Sokhna Port with a 2 mn TEU annual capacity.

#2- An industrial zone: Nanjing Hurricane Trading is pitching a 100k sqm FMCG and chemicals industrial zone, targeting 70% exports to European and African markets, alongside a bonded warehouse for re-exporting used Chinese machinery to Africa.

#3- Egypt’s Yiwu market: An unnamed player is proposing a USD 2 bn, 3 mn sqm integrated trade city, modeled after China’s Yiwu market and complete with a hotel, a school, and a hospital. The “Mini-Yiwu” development could serve as a permanent regional trade outpost, giving buyers from Africa, the Middle East, and Europe a centralized hub to source Chinese goods directly from Egyptian soil.

Why it matters: With 160+ Chinese firms already operating locally, the latest proposals to embed education, healthcare, and hospitality into trade hubs signal Beijing’s ambition to anchor itself across the entire supply chain and to cement Egypt as a permanent Belt and Road outpost between the Red Sea and the Mediterranean, aligning with the Madbouly government’s USD 145 bn export target.

We went deep into the China-Egypt story last fall with HSBC Egypt CEO Todd Wilcox and Ed Weeks, the bank’s deputy CEO in China.

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4

EARNINGS WATCH

CIRA Education is looking at M&A and westward expansion as it reports rising net income in 1Q

Our friends at CIRA Education saw their normalized net income rise 67% y-o-y in 1H FY 2025/26 to EGP 678.3 mn, according to the EGX-listed education provider’s latest earnings release (pdf). The increase was supported by a 31% y-o-y rise in revenues to EGP 2.8 bn, as growth in the higher education segment helped offset a tougher comparison base in K-12.

Higher ed is doing the heavy lifting: Segment revenues climbed 35% y-o-y to EGP 2 bn, while enrollment surged 39% to 36k students. Growth was driven by strong intake at Badr University’s Cairo and Assiut campuses and the continued ramp-up at Saxony Egypt University. Utilization of available seats in higher ed jumped to 88%, up from 67% a year earlier.

K-12 is also growing — just more steadily: Revenues rose 23% y-o-y to EGP 882.8 mn as the network expanded to 30 schools. Enrollment reached 37.2k students, up 4.3% y-o-y, and utilization held strong at 93% despite new capacity coming online.

That slower pace reflects the segment’s scale. “When I mention a high base, I mean a large existing student body,” CEO Mohamed El Kalla tells EnterpriseAM. With enrollment already at 37k, each new 1.5k-seat school has a smaller incremental impact. Translation: K-12 growth is normalizing, and CIRA “is going to enter into a phase of looking at specific M&As and higher patterns of growth,” El Kalla says.

So where does growth come from next? Part of the answer lies abroad. CIRA is targeting diaspora markets, with CIRA Global Ventures’ recent minority stake in US-based Falcon Academy. “We have an interest in seeing ourselves existing westward, where there is a huge growth of diaspora looking for services like ours that are highly globally connected while still maintaining a specific cultural setup,” El Kalla says.

Closer to home, the group is also building a regional footprint, with its sister company, Social Impact Capital Education, already operating in Saudi Arabia through Brooke House College Riyadh, and additional projects in the pipeline yet to be announced.

The bigger shift: CIRA is moving beyond being just an education provider. Through its new CIRA Care arm, the group is focusing more on human capital development, positioning itself as a provider of skilled labor. The focus is on “gray-collar” roles, with programs already in place alongside international partners to supply talent to both local and global markets, El Kalla says.

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5

Moves

An architect of consumer finance in Egypt steps down

The man who showed us how to buy cars and plenty of other things on credit is setting out to build something new. Hazem Moussa (LinkedIn) is stepping down as chairman of Contact Financial Holding after a 25-year run that saw him build Egypt’s consumer finance industry from the ground up, according to a company statement(pdf). Moussa, who co-founded the firm in 2001, was Contact’s managing director from launch to 2016 and then as CEO from 2016 to 2020 before taking on the chairman’s post.

Widely credited with inventing the playbook for consumer credit and securitization in Egypt, Moussa worked directly with the government and the FRA to draft the frameworks that now govern the industry. His exit marks the final stage of a multi-year leadership transition at Contact, which saw John Saad take the CEO reins from longtime chief Said Zater last year.

Hazem appeared on our podcast Making It (tap or click here to listen, runtime: 32:24) back in 2019 to tell the story of how he built a household name.

IN OTHER MOVES-

Industry Minister Khaled Hashem appointed Mohamed Zada (LinkedIn) as assistant minister for strategic industries, according to a ministry statement. Zada, a 22-year veteran of the heavy industry sector, most recently served as the general manager of Suez Steel. He held regional leadership roles at LafargeHolcim (now Holcim) across MENA, as well as senior roles at Egyptian Steel and El Marakby Steel.

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6

Construction

Two of our own will take on Jordan’s largest desalination project

Construction giants Orascom Construction and Arab Contractors will build Jordan’s largest-ever infrastructure project, the USD 5.8 bn Aqaba-Amman Water Desalination and Conveyance project (AAWDC), project director Saddam Khalifat tells Middle East News Agency.

About the project: The AAWDC project centers on building an 851k cbm-per-day facility in the Gulf of Aqaba — set to be the second-largest reverse osmosis plant in the world. From there, a 445 km pipeline network will pump the fresh water up to Amman and other governorates. To be implemented under a build-own-transfer framework, the megaproject will be partially powered by a dedicated 300 MW solar plant and is expected to cover 40% of Jordan’s drinking water needs by 2030.

Why it matters: The high interest rate environment has made building things here at home right now tough, pushing local contractors to look elsewhere. We are already seeing this trend across the Red Sea, with 25 local contracting firms recently qualifying to complete for the Saudi National Housing Company’s massive SAR 200 bn pipeline of projects.

Who does what: The Jordanian megaproject will be executed by an international consortium led by France’s Meridiam and SUEZ Group. While both Egyptian firms will handle the heavy lifting during the construction phase, Orascom has also secured the long-term operations and maintenance contract to run the facility once it is commissioned. The consortium is currently targeting a financial close for the project by July, with construction kicking off this summer.

The project is a matter of national survival for Jordan. Ranking as one of the most water-stressed countries globally, Jordan has seen its fresh water availability plummet to a mere 60 cbm per person annually. The issue has prompted the government to declare the crisis a severe national security threat that could cripple its agriculture, tourism, and industrial sectors.

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7

Also on our Radar

EFG Holding unit and Infinity in big EV charger push

EFG Holding’s subsidiary EFG Corp-Solutions and Infinity have just made building EV charging stations easier by signing the country’s first leasing agreement for charging solutions, according to a press release (pdf). The financial details of the transaction are undisclosed.

Why this matters: The move tackles the financing problem, which is a constraint on EV infrastructure expansion in Egypt. Chargers are capital-heavy, slow to deploy, and risky in early markets. Leasing turns a big fixed cost into something closer to an operating expense. Infinity, which already operates the largest EV network in the country, plans to leverage the financing to accelerate deployment across commercial and residential development nationwide.

EBRD backs Fawry MSME Finance with EGP 250 mn credit line

Fawry’s microfinance arm secured EGP 250 mn from the European Bank for Reconstruction and Development (EBRD) to lend to young founders, with a focus on MSMEs led or majority-owned by entrepreneurs under 35 and underserved rural areas, according to a press release (pdf). The facility aims to help the economy absorb the growing number of young people entering the labor market.

Why it matters: The real story is the risk mitigation. Lending to youth-led startups in an inflationary environment is risky for local institutions. By attaching a 10% first-loss risk cover and an EU-backed liquidity incentive for the borrower, the EBRD is lowering the risk profile to make these loans viable for Fawry MSME Finance.

How much are we spending on gas next year?

Our natural gas import bill will jump 26% y-o-y to USD 10.7 bn next fiscal year, as the regional war drives up global energy prices, the Arabic press reports, citing an unnamed government official. The Madbouly government is allocating the funds to import 18.7 mn tons of gas to cover a domestic demand of roughly 7 bcf/d.

The increase adds USD 2.2 bn to the state’s projected USD 8.5 bn bill for the current year. The budget will cover a mix of LNG cargoes and pipeline gas from Israel.

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8

PLANET FINANCE

A tale of two M&A markets

MENA M&A activity fell 74% y-o-y in value terms in 1Q 2026, falling to USD 18.8 bn as the US and Israel’s war on Iran dampened market sentiment, according to LSEG data.

It was inbound M&A in the region that tripped up the most during the quarter, falling 90% y-o-y to a 10-year low of USD 4.6 bn. Meanwhile, outbound M&A also fell, albeit at a much softer pace of 55% y-o-y to USD 11.5 bn. That’s the lowest value of M&A transactions originating from the region in two years.

The big fish of the quarter: The Abu Dhabi Investment Authority’s (Adia) sale of its entire18.4% stake in Pension Ins. Corporation Group, which closed last quarter, topped the charts as the largest M&A transaction with any MENA involvement. The transaction was valued at some USD 4 bn. Other major transactions in the quarter included ePointZero Holding’s USD 2.3 bn acquisition of a 100% stake in US-based energy firm Traverse Midstream Partners, as well as Aluminium Bahrain’s USD 2.2 bn acquisition of France’s Aluminium Dunkerque.

Goldman Sachs took the lead as the financial adviser with the largest value and volume of transactions under its belt in MENA during the quarter, advising on three transactions worth a combined USD 34.8 bn, according to GlobalData. Some of the largest transactions it worked on include PIF’s Savvy Games Group’s USD 6 bn acquisition of Shanghai Moonton, as well as the Alba-Dunkerque takeover.

Even with the downturn, it’s still “too early” to extrapolate what the rest of the year holds, Goldman Sachs’ co-head of MENA Investment Banking Jassim AlSane says. Some analysts are expecting a short-term slowdown in the dealmaking numbers amid heightened uncertainty caused by the regional conflict. Amid the uncertainty, M&A activity will shift towards safe havens that will help hedge against inflation and volatility, AlSane said. “The regional fundamentals remain intact, and if anything, the economies in the GCC have proven their resilience despite the volatility in geopolitics,” he said.

The global outlook is looking promising

A rosier view? Pure M&A volumes are expected to rise to USD 3.8 tn in 2026, surpassing 2021 and 2025 levels, Tim Ingrassia, co-chairman of global M&A in investment banking at GS, said in a recent note. “To get a measure of ‘pure M&A volume,’ Ingrassia omits spinoffs, private company funding rounds, and [transactions] involving special purpose acquisition companies, or SPACs,” the note says.

The “tyranny of terminal value” is helping to drive that global activity: With AI disrupting long-term business models, investors are no longer buying based on the current business environment, but rather based on their predictions of a stock’s worth in the future — anywhere between six to infinity years down the line, Ingrassia says. “Terminal value is one of the biggest contributors to why buyers need to participate in M&A,” he says.

Meanwhile, private equity is facing a structural crisis of stuck capital, as fund distributions are at a 16-year low, according to data from MSCI and Global Banking & Markets. Firms are facing mounting pressure to accelerate the sale of portfolio companies and boost returns to their investors, Ingrassia notes.

MARKETS THIS MORNING-

Asia-Pacific markets are mixed in early trading this morning as investors sit tight, awaiting earnings season and monetary policy decisions from the US, Japan, UK, and Europe. Japan’s Nikkei and the Hang Seng are in the red, while the Kospi and Shanghai Composite are looking at gains.

EGX30

52,719

+0.6% (YTD: +26.0%)

USD (CBE)

Buy 52.49

Sell 52.63

USD (CIB)

Buy 52.40

Sell 52.50

Interest rates (CBE)

19.00% deposit

20.00% lending

Tadawul

11,169

+0.4% (YTD: +6.5%)

ADX

9,828

+0.4% (YTD: -1.7%)

DFM

5,871

+0.3% (YTD: -2.9%)

S&P 500

7,174

+0.1% (YTD: +4.8%)

FTSE 100

10,321

-0.6% (YTD: +3.9%)

Euro Stoxx 50

5,860

-0.4% (YTD: +1.1%)

Brent crude

USD 108.23

+2.8%

Natural gas (Nymex)

USD 2.51

-1.7%

Gold

USD 4,706

+0.3%

BTC

USD 77,047

-1.7% (YTD: -12.1%)

S&P Egypt Sovereign Bond Index

1,047

+0.1% (YTD: +5.4%)

S&P MENA Bond & Sukuk

151.77

-0.1% (YTD: -0.1%)

VIX (Volatility Index)

18.02

-3.7%% (YTD: +24.2%)

THE CLOSING BELL-

The EGX30 rose 0.6% at yesterday’s close on turnover of EGP 8.0 bn (12.2% above the 90-day average). Local investors were the sole net buyers. The index is up 26.0% YTD.

In the green: Emaar Misr (+3.5%), Orascom Construction (+2.7%), and EFG Holding (+2.5%).

In the red: Valmore Holding -EGP (-7.0%), Valmore Holding -USD (-5.4%), and Juhayna (-3.0%).

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Our weekly deep dive into the green economy and ESG issue in Egypt.

Published every Tuesday in EnterpriseAM.

Read going Green
9

Going Green

Is salt the secret to Egypt’s energy future?

Could Egypt’s battery storage push be helped by pioneering the emerging sodium-ion battery technology? Draschem has recently won government backing to build a sodium cyanide plant in Alexandria. The USD 200 mn project’s first phase is set to yield 50k tons annually (mostly for gold mining), and the second phase will either double output or make additional cyanide derivatives — but what caught our attention is the third phase, which will produce sodium-ion battery components.

Why it matters: The move to produce sodium-ion batteries could have a big knock-on effect for our renewables ambitions, helping us move away from the more expensive lithium batteries that currently dominate battery energy storage systems globally. Sodium-ion batteries are an emerging technology that has the potential (once scaled) to be cheaper, as they require only salt as the main material input, instead of relying on the very limited — and imported — lithium supply in the ground.

Sodium-ion batteries — what they are (and aren’t)

Pros: Sodium is the sixth most common element in Earth’s crust and can be extracted from common salt. By contrast, lithium is rare, geographically concentrated, and currently imported. Sodium-ion cells also avoid nickel, cobalt, or graphite shortages. Many sodium chemistries have lower internal resistance, meaning they can charge and discharge quickly — ideal for heavily used grid batteries.

Cons: Sodium-ion batteries are still an emerging technology, which means early adopters are going to need to rely on a decent amount of R&D spend. Due to this and because we’re yet to see the production of these batteries fully scaled, the cost of these batteries is often just behind lithium-ion batteries per kWh, despite their potential to have a lower price point. Unlike lithium-ion batteries, sodium-ion batteries are inherently less energy-dense and consequently heavier, which reduces their usability in the automotive industry and consumer electronics.

Globally, the sodium-ion battery race is on

Egypt wouldn’t be alone in looking to build sodium-ion batteries as a real alternative: China has poured investments into research and factories, with battery giants such as CATL having sodium-ion lines. Even the US is joining the race, with startups like Natron moving forward in projects to develop these types of batteries. Analysts project global sodium-ion capacity ramping from 10 GWh in 2025 to perhaps more than 70 GWh by 2030.

Why the rush? One reason is to break China’s domination of lithium mining. Currently, China controls 80% of lithium-ion manufacturing and almost all refined lithium, graphite, and cathode production. Sodium-ion batteries open the door to new supply chains, since sodium can be sourced from rock salt or brine. Even though China also leads in sodium-ion cells, the material base is about 1k times more abundant than lithium, making alternative supply chains across the world easier to build.

Can Egypt lead, or just follow? We are getting started with sodium-ion batteries. Draschem’s project is mostly making sodium cyanide, with battery components as a later phase. Egypt doesn’t yet have a scaled battery cell manufacturing ecosystem, with many ongoing lithium-ion battery manufacturing projects reliant on imported lithium-ion technology and know-how. On the plus side, we have strengths: Egypt’s location strengthens our pitch as an export hub to Africa and the Middle East.

Implications

Cheap, homegrown sodium batteries could accelerate our renewables buildout: Lower battery costs mean cheaper solar-plus-storage projects — effectively shifting more peak demand off gas.

There are economic benefits, too: Local battery manufacturing would cut lithium’s import bill.

But it’s not ensured

It’s a bold wager, and critics will have questions: Can the country really produce battery cells at scale? Draschem mentions components, but building full battery modules means additional steps (anode/cathode fabrication, cell assembly, power electronics, etc.).

The plan’s timeline also matters: The first phase only starts in 2028, and those battery components won’t arrive overnight. By then, global players may have advanced further, while lithium-ion costs keep dropping and new alternatives start rising.

Regulatory hurdles remain: Egypt still needs clear storage regulations — defining storage as an asset class, grid codes for batteries, and stable revenue schemes. Without that, even cheap batteries sit idle.

Financing is another issue: BESS projects are still seen as “ revenue-light ” and rely on project-by-project agreements. If investors doubt how Egypt will pay for stored electricity or ensure grid access, plans may stall.

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CALENDAR

2026

MAY

1 May (Friday): Labor Day.

5 May (Tuesday): S&P Global to release PMI figures for April

7 May (Thursday): Labor Day national holiday observed

7 May (Thursday): CBE expected to release foreign exchange reserve data for April

10 May (Sunday): Capmas expected to release inflation data from April

21 May (Thursday): Monetary Policy Committee’s third meeting of 2026.

27-29 May (Wednesday-Friday): Eid El Adha (TBC).

JUNE

15 June (Monday): Seventh review of the IMF’s Extended Fund Facility

30 June (Tuesday): National holiday in observance of the June 30 Revolution (TBC).

JULY

9 July (Thursday): Monetary Policy Committee’s fourth meeting of 2026.

23 July (Thursday): National holiday in observance of Revolution Day (TBC).

AUGUST

20 August (Thursday): Monetary Policy Committee’s fifth meeting of 2026.

26 August (Wednesday): National holiday in observance of Prophet Muhammad’s birthday (TBC).

SEPTEMBER

15 September (Tuesday): IMF to hold its eighth review of Egypt’s USD 8 bn EFF arrangement.

24 September (Thursday): Monetary Policy Committee’s sixth meeting of 2026.

27-29 September (Sunday-Tuesday): Global Conference on Population, Health, and Human Development.

OCTOBER

6 October (Tuesday): Armed Forces Day.

29 October (Thursday): Monetary Policy Committee’s seventh meeting of 2026.

DECEMBER

17 December (Thursday): Monetary Policy Committee’s eighth meeting of 2026.

EVENTS WITH NO SET DATE

Early 2026: Passenger operations on the New Administrative Capital-Nasr City monorail scheduled to begin.

1Q 2026: Trial operations for the Ain Sokhna-Sixth of October section of Egypt’s first high-speed rail line scheduled to begin.

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

July 2026: British Prime Minister Keir Starmer set to visit Egypt.

2H 2026: Operations at Deli Glass Co’s new USD 70 mn glassware factory kick off.

2026: The Egyptian-American Economic Forum.

2027

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

April 2027: Tenth of Ramadan dry port and logistics hub to begin operations.

EVENTS WITH NO SET DATE

2027: Egypt to host EBRD’s annual meetings.

2027: Egypt-EU Summit 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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