Kuwait in talks to convert USD 4 bn of CBE deposits into direct investments

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What We're Tracking Today

Trump demands American vessels pass Suez Canal free of charge

Good morning, folks. It’s been a busy month for local business news — and it shows few signs of slowing as we enter the last workweek of the month. In today’s issue, we’ve got news that Kuwait is eyeing turning its deposits at the central bank into direct investments, an improved growth outlook from the World Bank, a rundown of recently introduced SME-focussed tax reforms, and more.

PSA-

#1- We’ve got yet another shorter-than-usual workweek, with Thursday, 1 May off for Labor Day for both the public and private sector. EnterpriseAM Egypt will also be taking a break from your inboxes over the long weekend, but we will be back with all the must-know local business updates bright and early on Sunday.

#2- Summer opening hours for shops, malls, cafes, restaurants, and workshops begin this Friday, according to a statement from the Local Development Ministry. Shops and malls will now be open to 11pm on weekdays and 12pm weekends, restaurants and cafes will keep the light on until 1am, and workshops will be able to operate in residential areas until 7pm.

WEATHER- It’s continuing to cool down in Cairo today, with a high of 28°C, a low of 17°C, and partly cloudy skies, according to our favorite weather app.

The partly cloudy skies extend all the way to Alexandria, which is in store for a high of 25°C and a low of 16°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- American President Donald Trump is demanding that American military and commercial vessels pass the Suez Canal and Panama canal “free of charge,” he wrote in a post on Truth Social. “I’ve asked Secretary of State Marco Rubio to immediately take care of, and memorialize, this situation.”

Trump also claimed that the two canals “would not exist without the United States of America,” — a claim that has left us scratching our heads in the case of the Suez Canal.

The move could have more to do with countering Chinese influence than it does with the cost of the Suez Canal. Trump protested China’s presence around the Panama Canal with a threat to “take it back,” which led to pressure on a Hong Kong-based company to sell two Panama ports and other assets to a BlackRock-led alliance in a yet-to-be finalized transaction that could total USD 18 bn.

#2- Attention, logistics players. The Transport Ministry is offering up 23 dry ports and logistic zones investment projects, it said in a statement. The projects on offer span the country from North to South and from East to West, and include projects in Sadat City, Borg El Arab, Sohag, Qena, Kom Abu Rady, Beni Suef, Toshka, Abu Simbel, Arish, Ras Sudr, El Tor, Taba, Bir Al Abd, and more.

Want to know more? Interested investors should go the General Authority for Land and Dry Ports at the Ministry of Transport in the new capital to find out more about the projects on the table.

GDP WATCH-

Analysts and economists polled by Reuters trimmed Egypt’s GDP growth outlook for the current fiscal year to a median forecast of 3.8% y-o-y, down 0.2 percentage points from the newswire’s January outlook. The latest poll mirrors the International Monetary Fund’s latest projection, where it upgraded its forecast last week 0.2 percentage points to 3.8%.

Fingers were firmly pointed at Trump’s trade war for the less optimistic outlook, with the country set to be indirectly affected by a downturn in investor sentiment and business activity more generally, Abu Dhabi Commercial Bank’s Sri Virinchi Kadiyala said. The Institute of International Finance’s Ivan Burgara similarly argued that while the country won’t be affected too much directly, “the main shock would come via the secondary impact on global growth, particularly in Europe.”

Forecasts for the coming fiscal year were also down, trimmed 0.1 percentage point from their January forecast to 4.6% for FY 2025/26. Despite the downgrade, the median forecast was 0.3 percentage points up from the IMF’s current forecast.

Other notable forecasts:

The EGP is expected to weaken to 51.87 against the USD by June 2025 and 53.10 by June 2026.
Headline inflation is forecast to average 20.48% this fiscal year and 12.2% in the following fiscal year.
The central bank’s overnight lending rate is expected to be cut to 24.25% by June 2025 and 17.75% by mid-2026.

HAPPENING TODAY-

Today is your last chance to apply for the MINT Incubator three-month program in partnership with Alex Angels. Selected startups will get the chance to take part in workshops, mentoring sessions, panel discussions, meet with potential investors, and more. The top three startups will receive grants, and a partnership with EGBank is also in the cards.

CIRCLE YOUR CALENDAR-

The deadline for the Australian government’s master’s scholarship program Australia Awards is fast approaching, with the application window coming to a close on 30 April. The scholarship program grants funding for citizens of certain African nations — including Egypt — to study climate change, agriculture and food security, mining and energy, foreign policy and international security, and gender, disability, and social inclusion. You can find out more about the program here (pdf) and apply through the Australia Awards website.

The Social Education Summit 2025 will kick off next month, bringing together the public and private sectors, NGOs, and global leaders in the field on 25 May to discuss the future of social education, how technology can help ensure education for all, sustainable financing models, and more. You can check the agenda and register for the event through their website.

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-

The world’s press descended on the Vatican for the Pope’s funeral — but of course Trump managed to steal the spotlight. A meeting between US President Donald Trump and Ukrainian President Volodymyr Zelenskyy — their first since their February White House spat — is leading the digital front pages this morning. In a marked change of tone, Trump took to Truth Social to state that his Russian counterpart Vladimir Putin may not “want to stop the war” and may need to “dealt with differently.” (Wall Street Journal | Financial Times | Bloomberg | Reuters | New York Times | Guardian)

And in our corner of the world, Palestinian President Mahmoud Abbas appointed longtime confidant Hussein Al Sheikh as his deputy — and likely successor — in a move seen as an attempt to quell mounting US, Arab, and international pressure for a clear succession plan. (New York Times | Reuters | Guardian)

Our Foreign Ministry welcomed Al Sheikh’s appointment, describing it as a step that would help “bolster Palestinian internal unity and restore Palestinian rights during a critical period for the Palestinian cause.”

While in Iran, a massive explosion tore through a port in Bandar Abbas killing at least 14 people and injuring more than 700 others, according to Iranian state media. Authorities said the blast — which unleashed a giant mushroom cloud and shattered windows kilometers away — was likely triggered by the ignition of improperly stored chemicals inside shipping containers. (Reuters | Financial Times | Guardian)

Kuwait mulls turning USD 4 bn of deposits in Egypt into direct investments

Kuwait could invest USD 4 bn held in Egypt: Kuwait is in talks to turn the USD 4 bn of deposits it holds in Egypt’s central bank into direct investments across several sectors, Bloomberg reported on Thursday, citing unnamed sources it said are familiar with the matter.

Not the first time we hear of this: In October, unnamed sources told Al Mal that the country’s sovereign wealth fund, Kuwait Investment Authority (KIA), is considering converting its deposits in the Central Bank of Egypt (CBE) into direct investments in both public and private sector companies.

The timeline: The Gulf country is aiming to move forward with its plan soon, with a target of investing at least USD 2 bn by the end of the year, but no final decision on the timeline has been reached yet, according to Bloomberg.

That’s not all: Ekuity Holding, which manages KIA’s investments in Egypt, is reportedly looking to invest an undisclosed amount in Egypt in addition to the USD 4 bn deposits, sources told the business news service, without providing further details.

IN CONTEXT- The Kuwaiti-Egyptian Cooperation Council and Investment and Business Forum, which took place last Wednesday, highlighted 52 new investment prospects for Kuwaiti investors, including participation in the state privatization program and projects in the automotive, chemicals, and textile sectors, Al Arabiya reported on Wednesday. The Kuwaiti delegation expressed interest in scaling up investments in Egypt and playing an active role in the upcoming Egypt-Gulf Investment Forum, which is set to be hosted in Cairo later this year, according to an Ittihadiya readout following the delegation’s meeting with President Abdel Fattah El Sisi.

Which sectors are the Kuwaitis eyeing? The Kuwaiti private sector is aiming to funnel investments into Egypt’s real estate, tourism, pharma, and automotive sectors, head of the Kuwaiti side of the Egyptian-Kuwaiti Cooperation Council Mohammed Al Saqr told Al Arabiya, adding that these sectors show strong potential for growth in the country. Kuwait is also eyeing Egypt’s airport privatization plan as the government prepares to offer 11 airports to the private sector, according to previous reports.

ICYMI- President Abdel Fattah El Sisi was in Kuwait earlier this month to drum up investment, with Egypt reportedly hoping to attract some USD 4 bn in new Kuwaiti investments in 2025.

This is a big W for Egypt: The plan would help Egypt by clearing USD 4 bn in liabilities, showing growing investor confidence, attracting more investments in the long run, and strengthening Egypt’s FX position.

We’ve seen this before with our Gulf friends: Abu Dhabi wealth fund ADQ last year converted USD 11 bn of UAE deposits at the CBE into investments in the USD 35 bn Ras El Hekma project, alongside USD 24 bn in fresh investment. The move helped Egypt write off USD 11 bn in external debt and ease FX backlogs in the banking system. Saudi Arabia also pledged last year to convert its deposits at the CBE into investments in Egypt, but the plan has yet to materialize.

The news also found its way on to the airwaves last night: General Authority for Freezones and Investment head Hossam Heiba called in to Sada El Balad’s Trending to emphasise the importance of incoming Kuwaiti investments (watch, runtime: 3:04). Heiba described Kuwaiti investors as among the earliest Gulf investors in Egypt, and discussed their expanding footprint in the country across sectors including agriculture, industry, financial services, and real estate.

World Bank upgrades Egypt’s growth forecast for FY 2024-25 to 3.8%

World Bank (finally) raises our growth outlook for FY 2024-25: The World Bank sees the Egyptian economy growing at a 3.8% y-o-y clip during the fiscal year 2024-2025, raising its outlook 0.3 percentage points from its 3.5%forecast in October, the international lender said in its semi-annual MENA economic update — Shifting Gears: The private sector as an engine of growth in the Middle East and North Africa (pdf).

The rationale: The World Bank attributes the improved outlook to expectations of strengthening private consumption as inflationary pressures gradually subside. The lender sees Egypt’s inflation averaging 20.9% in the current fiscal year, down from 33.6% in FY 2023-24, supported by exchange rate adjustments earlier last year and elevated policy rates, with “favorable base effects will continue to play a role in the year-on-year drop in inflation.” The lender sees inflation hitting 15.5% in the upcoming fiscal year.

The World Bank noted Egypt’s growth slowed to 2.4% in FY 2023-24 — down 0.1 percentage points from its October estimate — due to weak manufacturing performance, subdued Suez Canal revenues, and import restrictions.

Suez Canal revenues remain under pressure: Suez Canal receipts are expected to fall to USD 3.7 bn this fiscal year — USD 5.1 bn below pre-Gaza war levels — as ships continue rerouting. As of February, traffic through the canal was still 54% below pre-October 2023 averages, the report read.

REMEMBER- Annual headline urban inflation rose in March to 13.6%, ending a four-month decline and marking a 0.8 percentage point increase from February’s 12.8%. Analysts expect a modest further uptick in April as Ramadan-related food price pressures linger, but the broader outlook remains tilted toward easing as core inflation continues to cool.

Despite the uncertainties, growth is on a stable trajectory: The lender maintained its FY 2025-26 growth outlook at 4.2% — unchanged from its October forecast and 0.3 percentage points shy of the Madbouly government’s 4.5% projection for the fiscal year.

REGIONALLY- The lender sees the MENA region’s growth reaching 2.6% this year, up from 1.9% in 2024, with GCC economies expected to grow 3.2% in 2025. Meanwhile, developing oil exporters are forecast to lag at 0.8%, and oil importers — including Egypt — are projected to expand by 3.4%. The rebound will be driven by higher oil output as OPEC+ accelerates rollback plans in May, alongside non-oil growth in Saudi Arabia, the UAE, and Oman.

There are multiple caveats to the improved regional outlook: Weather shocks, oil market volatility, regional fragility, and a potential global slowdown could all weigh on MENA’s recovery, the World Bank warned. For oil exporters, weaker demand and price swings could hit fiscal and external balances. Oil importers could benefit from cheaper oil but face risks from lower remittances, shaky consumer sentiment, and possible capital outflows.

Egypt’s Finance Ministry releases guide on new tax reforms

The government is out with a guide to its new tax reforms: The Finance Ministry has issued a guide (pdf) clarifying the eligibility criteria, obligations, and penalties under the newly approved tax code as well as the dispute-resolution mechanism that it outlines. The guide also includes an FAQ and commentary from leading business figures.

REMEMBER- It’s all part of a push by the Finance Ministry to widen the tax base. President Abdel Fattah El Sisi in February signed three laws introducing measures designed to make it easier for small businesses to pay taxes as well as simplified procedures for filing and dispute settlement. We first heard about the laws in October 2024 when Finance Minister Ahmed Kouchouk announced a long list of tax reforms.

How much tax will SMEs have to pay under the new system? Small businesses will be taxed on their turnover, eliminating arguments with tax inspectors over expenses. The rates are as follows:

0.4% for companies with annual revenues below EGP 500k;
0.5% for those between EGP 500k and less than EGP 1 mn;
0.75% for revenues between EGP 1 mn and less than EGP 2 mn;
1.0% for revenues between EGP 2 mn and less than EGP 3 mn;
1.25% for revenues between EGP 3 mn and less than EGP 10 mn;
1.5% for revenues between EGP 10 mn and less than EGP 20 mn.

How can SMEs qualify for the new tax breaks? To benefit from the new rates, companies with revenues of up to EGP 20 mn will need to file a request, meet deadlines for submitting tax returns, and join the government’s digital systems, including the e-invoicing and e-receipt systems. The Tax Authority will have deadlines for each phase of the rollout.

A fresh start for non-filers — but with conditions: SMEs will need to register and remit income tax, VAT, stamp tax, and development fees retroactive only to 13 February 2025. Any business that meets the threshold to collect and remit VAT will need to register to pay income tax and VAT within three months of that date. They’ll also need to go online to file all the usual documentation through the government’s digital platforms by the dates the Finance Ministry hands down.

Crossing the EGP 20 mn barrier won’t mean you’re automatically kicked up into a new tax system. The Finance Ministry is signaling it understands business can be cyclical: Companies that enrol in the simplified SME tax regime won’t automatically get kicked into the standard system if their annual revenues go above the EGP 20 mn cutoff. Any business can go over the threshold by up to 20% once in a five year period and be subject only to a 1.5% tax on the revenues above the EGP 20 mn limit.

Not everyone qualifies for the new system: The simplified SME system excludes professional consulting firms that generate 90% or more of their revenues from just one or two clients — unless they secure a special exemption from the Finance Ministry. Companies that artificially split operations to qualify for the system are also ineligible, with the burden of proof resting on the Tax Authority.

BREAKS FOR COMPANIES OF ALL SIZES

All late-filers get a pass — for now: Businesses of all sizes that missed filing their tax returns for the 2020-2024 tax seasons can submit them without facing penalties or fines — as long as they file between 13 February 2025 and 8 August 2025. Anyone who made errors or omissions in previously submitted returns can also amend their filings in the same window without incurring late penalties or additional taxes, provided the corrected filings are submitted by 12 August 2025.

New options to settle old disputes: The Finance Ministry is also rolling out measures to make it more attractive for businesses to settle disputes dating to before 2020, including by paying a fixed percentage of taxes owed. Businesses will be able to make those payments in four installments over a 12-month period without paying late fees or additional interest charges.

Unemployment among Egyptians dipped to 6.6% in 2024

Unemployment was down 0.4 percentage points throughout 2024: Egypt’s unemployment rate dropped to 6.6% of the total workforce in 2024, down 0.4 percentage points from 2023, according to data from state statistics agency Capmas. Egypt’s labor force grew 2.9% to reach 32.0 mn people last year, compared to 31.2 mn in 2023, while the labor force participation rate rose to 44.2% in 2024, up from 43.4% the year prior.

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

Youth unemployment saw the biggest falls in unemployment: Unemployment among people aged 15-29 came in at 14.9% in 2024, down 1.0 percentage point from 2023. For the age group, female unemployment stood at 37.1%, compared to 9.8% for men. But among degree holders, female unemployment dropped to 40.8% from 45.3% a year earlier.

Despite increased participation in the labor force, women across all age groups are still underrepresented: Women’s total participation in the labour market reached 16.9% in 2024, a whole 1.0 percentage point jump from the year before. However, male participation reached 70.3% in 2024 — more than four times that of women.

Unemployment is falling faster in rural areas: Urban unemployment recorded 9.6% last year, down from 9.9% in 2023. In rural areas, the rate fell to 4.2% from 4.8%. Female unemployment in rural areas (12.4%) remains significantly lower than in cities (21.8%), thanks in part to women’s participation in agriculture.

Agriculture still leads the country’s main employer: The agriculture and fishing sector employed 18.7% of the workforce, followed by wholesale and retail trade (15.5%), construction (13.5%), and manufacturing (13.2%).

REMEMBER: The unemployment rate excludes working-age individuals who are not actively seeking jobs or are unable to work. Labor force participation measures the share of the population aged 15 years and older that is either employed or actively looking for work.

Egypt mulls exempting imported auto parts from state development fee

The Finance Ministry is considering exempting imported auto parts used in manufacturing from the 3% state development fee, to instead collect the fees upon commercial sales and during license renewals, following a proposal from car manufacturers, a government source told EnterpriseAM. The move would be part of the government's efforts to localize the auto industry, the source said.

The plan would come as part of a larger overhaul of the current tax system, with the government looking to replace many of the various fees charged by different entities with a single unified additional tax on net income, which aims to streamline the tax system and reduce the administrative burden on businesses.

The move comes amid other initiatives to help localize the auto industry, including the Finance Ministry allocating some EGP 3 bn in the upcoming fiscal year’s budget to fund the Automotive Industry Development Program (AIDP), up from the EGP 1 bn it had allocated for the current fiscal year, the source said.

The government is also looking to attract more manufacturers to the local automotive industry, especially Chinese companies, who have shown particular interest in investing in Egypt, our source said. The AIDP will dole out some EGP 1.5 bn worth of incentives to its participants, with the funds having already been integrated into the central clearing system. The move aims to help settle the arrears automakers owe to the customs and tax authorities and provide liquidity to manufacturers.

This wouldn’t be the first time an industry was exempted from the development fee in the name of localization, after the Finance Ministry implemented a similar exemption from development fees for imported mobile phone components back in March 2023.

IN OTHER AUTOMOTIVE NEWS-

#1- MM Group for Industry and International Trade’s (MTI) is planning to expand into third-party manufacturing and assembly of commercial vehicles in 2025, Chief Investment and Investor Relations Officer Ashraf El Ghannam told Asharq Business. The company is looking to roll out the activity in partnership with another local entity.

#2- Kasrawy Group plans to invest some USD 150 mn over the next three years to locally assemble vehicles, group's automotive division VP Mostafa Hussein told Hapi Journal. The group has already secured over 100k sqm of land in Sixth of October City to build its factory, which is expected to have a production capacity of 50-60k vehicles annually, according to Hussein.

UAE’s NAS inches closer to becoming the majority shareholder of Egyfert

Egyfert shareholders have until 25 May to sell their shares to NAS Investment Holding starting today, as part of the UAE-based company’s mandatory tender offer to increase its stake from 32.4% to up to 90%, according to a bulletin from the EGX (pdf) and a disclosure from the Financial Regulatory Authority (pdf). The transaction is valued at EGP 524.4 mn with shares priced at EGP 95 apiece, and will be financed through Nas’ own resources. Nas doesn’t have plans to delist Egyfert from the EGX.

The FRA granted Egyfert 15 days to disclose its opinion on the feasibility of the offer. It also obligated the company to appoint an independent financial advisor not related to the offer and to disclose to shareholders the findings of the advisor's report at least five days before the end of the mandatory tender offer period, according to a separate disclosure (pdf).

ADVISORS- Nas enlisted Al Ahly Pharos as broker on the transaction, while MHR & Co and White & Case are legal advisors.

Al Safy-El Nasr alliance names Yehia A. Halim as SN Automotive CEO

El Nasr Automotive and Al Safy Group appointed appointed Yehia A. Halim (LinkedIn) as CEO of their joint venture SN Automotive, according to a statement (pdf) A. Halim brings three decades of auto industry experience from roles at Toyota, Audi, BMW through the Bavarian Auto Group, Nissan, and Renault in Egypt, in addition to stints with Hyundai in Saudi Arabia and Cadillac in the UAE.

“Our goal is to deliver vehicles that not only offer competitive pricing but also meet the aspirations of Egyptian customers seeking performance, quality, luxury, and efficiency,” A. Halim said. “Our ambitions extend beyond meeting domestic demand—we aim to export vehicles to North Africa, capitalizing on Egypt’s strategic location and trade agreements with the EU and African nations”

European Bank of Reconstruction and Development tapped five new deputyheads for its Egypt team, including Reem El Saady (LinkedIn) as deputy head for government relations, Menna Zekrallah (LinkedIn) as deputy head for the corporate sector, Haytham Eissa (LinkedIn) as SEMED regional head and Egypt deputy head for infrastructure, Ahmed Mortada (LinkedIn) as deputy head for energy, and Hashem Abd El Hakim (LinkedIn) as deputy head for financial institutions.

What they said: “With this new team, we are positioning the EBRD to deliver more, faster, smarter, and with greater impact, to support policy reform, and introduce innovative solutions to meet the growing needs of Egypt’s economy and society,” SEMED Managing Director Mark Davis said in a statement.

The Egyptian Tax Authority took to the airwaves to stress dispute resolution progress

It was a mixed bag on the airwaves last night, with no single story stealing the dominating the coverage.

Egyptian Tax Authority advisor Ragab Mahrous called in to Ala Masouleety to tell Ahmed Moussa of the uptick in resolved tax cases since new legislation came into effect — totalling some 55k disputes (watch, runtime: 1:36). Mahrous also rang in to discuss the topic with Al Hayah Al Youm‘s Lobna Assal, telling the presenter that around 1 mn tax files have been opened to bring players in the informal economy under the tax umbrella (watch, runtime: 7:18). The state is committed to building “a strong, genuine partnership with the business community,” including both resident and non-resident taxpayers, Mahrous explained.

We also heard over the weekend that Inertia Egypt is studying the acquisition of land plots in Saudi Arabia from state and private entities, during a sit-down between CEO Ahmed El Adawy and Cairo Weekend’s Zeina Soufan (watch, runtime: 2:51). Inertia is targeting between 500k and 1 mn sqm for a new integrated development in north and northeast Riyadh, El Adawy said. The head of the company added that Inertia has signed partnerships with financial institutions to launch real estate funds following the land purchases.

Banque Misr halts issuance of high interest CDs in wake of interest rate cut

BANKING-

Banque Misr has halted new issuances of its 27% yield Talaat Harb annual certificate of deposit (CDs), and issued a 200 bps reduction in the interest rate on its three-year Ibn Misr certificate, as well as its fixed-return Triple Summit certificate, the bank said in a statement seen by EnterpriseAM. Banque Misr also lowered the yield on its Yomati certificates and its Super Cash current and savings accounts by 225 bps. The decision comes into effect starting today.

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

The bank follows a list of other banks who cut rates following the Central Bank of Egypt’s decision to cut interest rates last week, with the National Bank of Egypt cutting rates on some of its high interest certificates by 225 bps and CIB cutting interest rates on its savings accounts and its certificates of deposits by 225 bps.

DIPLOMACY-

President Abdel Fattah El Sisi met with Italian Deputy Prime Minister and Foreign Affairs Minister Antonio Tajani to discuss expanding trade, investment, and energy ties, and boosting cooperation on migration, according to an Ittihadiya statement. Talks also covered regional issues, including Gaza, Syria, Libya, and Sudan, with both sides reiterating their support for a two-state solution to the Israeli-Palestinian conflict.

Two MoU’s were inked during a separate meeting with Egyptian Foreign Minister Badr Abdelatty — one to establish an Egyptian-Italian platform to promote decent work and facilitate labor mobility to Italy, and the other to boost cooperation on energy transition projects, according to a statement by the ministry. Italy’s financial services and ins. group Sace also signed a framework agreement with the Intesa Sanpaolo majority-owned Bank of Alexandria to back up to EUR 200 mn in loans to Egyptian SMEs procuring Italian goods, according to a statement.

REAL ESTATE

Al Ahly Sabbour subsidiary Grande-Sabbour signed a cooperation agreement with KSA’s Sarat Investments to develop real estate projects across the Kingdom, according to a statement (pdf). Under the agreement, Grande-Sabbour will act as the company’s real estate arm in Saudi Arabia and develop projects in Jeddah, Riyadh, and Medina.

What they said: “This agreement deepens our footprint in the Saudi market, a promising market with numerous growth opportunities that will contribute to stimulating economic growth in the Kingdom and the region as a whole,” said Al Ahly Sabbour Chairman Ahmed Sabbour.

ENERGY-

#1- Dragon Oil agreed to merge its concession agreements in the Gulf of Suez under a unified framework with the Egyptian General Petroleum Corporation, Al Bayan reports. The move will help the Emirati company ramp up production, maximize resource utilization, and unlock untapped potential across the integrated zones, it said.

ICYMI- The company is currently in discussions with the governments of Egypt, Iraq, and Turkmenistan to begin operating new oil fields within four years. The company previously committed to investing USD 500 mn in Egypt in 2025 for operational and capital expenditures and is eyeing further investments in the country.

#2- Local renewables player IRSC will co-develop 75 MW of solar projects across Egypt under a recently signed strategic framework agreement with the Arab Consulting Office (ACO), alongside Chinese energy companies Sungrow and Tongwei, IRSC said in a statement.

EXPANSION-

Fast Ventures’ growth marketing platform Platformance opened a new office in Cairo to support its expansion in the MENA region, the company said in a statement (pdf). The new office will allow Platformance to offer deeper local insights, faster response times, and closer access to clients and talent in Egypt and the region, it said. The company has offices in Dubai and Riyadh.

What they said: “Our presence in Cairo positions us to support that growth directly. It allows us to partner more closely with local and regional brands, contribute to the wider digital advertising industry, and play a part in building long term economic value,” CEO Waseem Afzal said.

MENA fixed income outperform as global risks loom

1Q 2025 saw MENA fixed income markets off to a strong start, according to Mashreq Capital’s latest quarterly outlook (pdf), even as risk sentiment takes a hit globally. The Bloomberg MENA USD Aggregate Bond Index climbed 2.6% in 1Q 2025, reversing a 2.6% drop in the previous quarter and outperforming broader emerging market (EM) debt.

The main draw: Gains were driven by a 40 bps drop in US 10-year treasury yields and steady appetite for the long-duration, high-grade regional bonds. With an average duration of 6.1 years and an A credit rating, MENA bonds continue to offer value, with yields close to 6%, about 100 bps above their five-year average, even as spreads remain tight by historical standards.

Gulf heavyweights did most of the lifting: Saudi Arabia, the UAE, and Qatar drove fixed income gains in 1Q, together contributing 211 bps to overall performance. Sovereigns and government-related entities delivered most of the returns across MENA, accounting for 220 bps in total.

New debt looks to be pouring into the region: Issuance across MENA is picking up speed, with 40% of the total USD 120 bn expected this year already completed by the end of 1Q. Saudi Arabia and the UAE — both at a federal level and from Abu Dhabi — are expected to contribute the lion’s share of supply, whilst Kuwait is set to return to international markets after passing its long-delayed debt law.

Equities underperformed, but the flows didn’t stop: MENA stocks lagged EM peers by 57 bps last quarter, weighed down by soft oil prices. Still, foreign capital continued to flow in: Kuwait surged nearly 10%, Dubai rose 1.7% on the back of strong performance from real estate and bank stocks, and Saudi’s Tadawul gained 0.6%. Abu Dhabi was only up marginally as Adnoc stocks came under pressure.

Mashreq Capital has a more cautious stance for 2Q: The firm remains neutral on MENA fixed income but has trimmed risk, cutting high-beta names and adding modest duration through investment-grade bonds. The shift comes amid rising global volatility, with US trade tariffs and weakened Brent oil prices flagged as key downside risks.

The big picture: The UAE, Qatar, and Oman are expected to outperform thanks to low fiscal breakeven oil prices and solid external positions, according to the report. Oman and Morocco are on upgrade watch, while Bahrain and Sharjah remain underweight amid debt concerns and weaker fundamentals.

It is also backing sectors tied to domestic demand, including infrastructure, real estate, and tech, in markets like the UAE, Saudi Arabia, and increasingly Oman. The firm says structural reforms and policy follow-through are anchoring long-term investor interest in these economies.

EGX30	31,640	+2.6% (YTD: +6.4%)
USD (CBE)	Buy 50.89	Sell 51.02
USD (CIB)	Buy 50.91	Sell 51.01
Interest rates (CBE)	25.00% deposit	26.00% lending
Tadawul	11,764	+0.7% (YTD: -2.3%)
ADX	9392	-0.4% (YTD: -0.3%)
DFM	5163	-0.6% (YTD: +0.1%)
S&P 500	5525	+0.7% (YTD: -6.1%)
FTSE 100	8415	+0.1% (YTD: +3.0%)
Euro Stoxx 50	5154	+0.8% (YTD: +5.3%)
Brent crude	USD 66.87	+0.5%
Natural gas (Nymex)	USD 2.94	+0.2%
Gold	USD 3,298.40	-1.5%
BTC	USD 94,195.60	-0.5% (YTD: +0.8%)

THE CLOSING BELL-

The EGX30 rose 2.6% at Wednesday’s close on turnover of EGP 3.9 bn (13.3% below the 90-day average). Foreign investors were the sole net sellers. The index is up 6.4% YTD.

In the green: Fawry (+6.5%), Beltone Holding (+5.9%), and Egypt Alum (+4.0%).

In the red: Juhayna (-0.6%), Edita (-0.6%), and Emaar Misr (-0.4%).

CALENDAR

APRIL

27 April (Sunday): Deadline for applications to MINT Incubator's 3-month equity-free startup program with Alex Angels

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

29 April (Tuesday): Solar & Storage Live Egypt, Cairo, Egypt

30 April (Wednesday): Deadline for Australia Awards Scholarships applications

Mid-April: Egyptian trade delegation to promote investments during an official visit to Canada

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

7-10 May (Tuesday-Saturday): Egypt hosts the 24th Pan Arab Junior and Ladies Golf Championship

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

25 May (Sunday): Social Education Summit 2025, Cairo, Egypt

Egyptian Exporters Association (Expolink) exhibition, Italy

Egyptian-Russian Business Forum

May 2025: Egypt-Singapore Business Forum, Cairo

JUNE

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

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

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

Realme to open smartphone factory

IFC President Makhtar Diop to visit Egypt

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

Etihad Airways to launch twice-weekly flights to Alamein

AUGUST

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

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

SEPTEMBER

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

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.

November: Egypt to join the EU’s Horizon Europe research and innovation program.

DECEMBER

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

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

EVENTS WITH NO SET DATE

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

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

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.

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

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

2025: The InterAcademy Partnership assembly

2025: Nile Basin States Summit, Cairo, Egypt

2025: Release of the government’s Startup Charter document

2026

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.

1 January: European Union’s Carbon Border Adjustment Mechanism (CBAM) to fully come into effect

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.

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 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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