{"id":597003,"date":"2023-08-10T00:00:00","date_gmt":"2023-08-10T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2023\/08\/10\/this-evening-inflation-hit-a-new-record-in-july-economic-updates-from-finmin-efg-holding-had-a-good-2q\/"},"modified":"2023-08-10T00:00:00","modified_gmt":"2023-08-10T00:00:00","slug":"this-evening-inflation-hit-a-new-record-in-july-economic-updates-from-finmin-efg-holding-had-a-good-2q","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2023\/08\/10\/this-evening-inflation-hit-a-new-record-in-july-economic-updates-from-finmin-efg-holding-had-a-good-2q\/","title":{"rendered":"THIS EVENING: Inflation hit a new record in July + Economic updates from FinMin + EFG Holding had a good 2Q"},"content":{"rendered":"

Good afternoon, and a very happy THURSDAY, ladies and gentlemen. <\/strong> It\u2019s shaping up to be a macro-heavy end to the workweek, with new inflation and budget data out today. Before we get underway, we have a couple of mea culpas from this morning\u2019s edition of EnterpriseAM, which we\u2019ve amended on the web:<\/p>\n

CORRECTION #1- <\/strong> Our My Morning Routine column<\/a> with Fadi Abi Nader included an incorrect title. Fadi is Vice President - One Demand Global Emerging Markets at Mars Wrigley. <\/p>\n

CORRECTION #2- <\/strong> We incorrectly said that Mohamed Kotb, who has been tapped<\/a> as Prime Investments\u2019 new CEO and managing director, is taking over from Hassan Samir Farid. Hassan remains vice chairman and CEO of Prime Holding.<\/p>\n

THE BIG STORIES TODAY <\/strong><\/p>\n

#1- New record for inflation: <\/strong> Annual urban inflation accelerated again in July, hitting a new record of 36.5% y-o-y during the month, up from 35.7% in June<\/a>, according to figures from statistics agency Capmas. July\u2019s inflation figures are a new record high, as food and beverage prices continued to underpin the price acceleration during the month, rising 68.4% y-o-y.<\/p>\n

#2- FinMin releases updated economic data: <\/strong> Egypt\u2019s budget deficit came in at 6.0% in FY 2022-23, narrowing one percentage point from the previous fiscal year, Finance Minister Mohamed Maait said in a statement<\/a> today. Preliminary figures<\/a> had suggested the budget deficit widened to 6.2% last fiscal year. Our primary surplus also improved, coming in at 1.63%, up from 1.3% a year earlier, Maait said. <\/p>\n

#3- <\/strong> EFG Holding\u2019s net <\/strong> income after tax and minority interest grew 20% y-o-y in 2Q 2023, <\/strong> recording EGP 405 mn <\/strong>, according to its earnings release (pdf)<\/a>. The group\u2019s revenues rose 51% y-o-y to EGP 3.1 bn, buoyed by \u201cbroad-based growth\u201d across its investment banking arm, EFG Hermes; commercial bank aiBank; and its NBFIs platform EFG Finance.<\/p>\n

THE BIG STORY ABROAD <\/strong><\/p>\n

Biden\u2019s executive order to curb investments and trade with China\u2019s tech sector <\/strong>is leading the conversation in the international business press this afternoon. Made yesterday, the order focuses on advanced semiconductors which may be used with technologies aimed at military, surveillance and cyber activities. The order goes to the extent that US investors must inform Washington about any investments into other kinds of semiconductors and AI technologies and prohibits US nationals and permanent residents from participating in clandestine agreements. China\u2019s rebuttal includes a sharp response to this move that impacts the \u201csecurity of the global industrial and supply chains\u201d and naturally affects any investment in China. (Financial Times<\/a> | Reuters<\/a> | CNBC<\/a> | Bloomberg<\/a> | Wall Street Journal<\/a>)<\/p>\n

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** CATCH UP QUICK on the top stories from today\u2019s EnterpriseAM: <\/strong><\/p>\n