{"id":619204,"date":"2024-04-28T00:00:00","date_gmt":"2024-04-28T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2024\/04\/28\/this-afternoon-tourism-finance-ministries-to-launch-subsidized-financing-initiatives-for-hospitality-investors\/"},"modified":"2024-04-28T00:00:00","modified_gmt":"2024-04-28T00:00:00","slug":"this-afternoon-tourism-finance-ministries-to-launch-subsidized-financing-initiatives-for-hospitality-investors","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2024\/04\/28\/this-afternoon-tourism-finance-ministries-to-launch-subsidized-financing-initiatives-for-hospitality-investors\/","title":{"rendered":"THIS AFTERNOON: Tourism + finance ministries to launch subsidized financing initiatives for hospitality investors"},"content":{"rendered":"

Good afternoon, folks, and happy Sunday. <\/strong>It\u2019s a relatively slow start to the week as far as the local news cycle goes, but we have the rundown on the distribution and concentration of wealth across African countries \u2014 including the number of m\u2019naires and b\u2019naires in Egypt last year.<\/p>\n

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

Subsidized financing for new hotel rooms:<\/strong> The Tourism and Finance Ministries have reportedly reached an agreement to launch a subsidized financing initiative that offers hospitality investors looking to build new hotel rooms loans with a 12% interest rate, Al Mal<\/a> reports, citing sources it said have knowledge of the matter.<\/p>\n

The rationale:<\/strong> Finance Minister Mohamed Maait last week told the House of Representatives\u2019 budget committee that the current hotel room count isn\u2019t sufficient to welcome more tourists into the country. And because the sector is one of the country\u2019s stronger and faster FX magnets, the ministry came up with the subsidized financing initiative to encourage investors to invest in hospitality expansions and add more hotel rooms.<\/p>\n

What\u2019s next:<\/strong> The mechanisms under which the initiative will be implemented will be drawn up by the finance and tourism ministries. The sources expect it to reach the cabinet for discussion, without mentioning a specific date.<\/p>\n

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Foreign investors are falling in love with Egypt again\u2026<\/strong> Foreign investors we speak with (debt, equity, and strategic alike) have a growing appetite for Egypt. They\u2019re buying into local debt, eyeing promising shares, and committing bns of USD to both new ventures here and the growth of their existing businesses. They like the Egypt story that\u2019s taking shape after the float of the EGP, and our competitive advantages are clear to many of them: We\u2019re a massive consumer opportunity and the regional export hub of tomorrow.<\/strong><\/p>\n

\u2026but here at home, our community is in a rut.<\/strong> The enthusiasm gap between domestic business leaders and global investors is stark. <\/p>\n

We\u2019d all do well to remember: It\u2019s a chicken-and-egg kind of thing. <\/strong>Foreign strategic investors will be reluctant to commit capital here until they see Egyptian businesses leading the way.<\/p>\n

The Enterprise Optimism Forum 2024 will do exactly what it says on the tin: <\/strong>Spark conversations about a future that we think is much brighter than so many in our community feel right now. Think of it as much-needed shock therapy combined with an early, actionable roadmap for those of us who are \u201clong Egypt.\u201d<\/p>\n

We\u2019ll be talking with you about the agenda over the coming couple of weeks.<\/strong>It features speakers from Egypt and abroad who are future-proofing their businesses and angling to capture tomorrow\u2019s opportunities \u2014 and who aren\u2019t afraid to answer some tough questions. <\/p>\n

*** Interested in attending? <\/strong>Tap or click here<\/a><\/strong> to let us know.<\/strong> Seating is limited. <\/p>\n

<\/a> <\/p>\n

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

No single story has captured the imagination of the international press today.<\/strong> Among the stories on the front pages:Investment firm Elliott Management has reportedly gone all-in on Sumitomo, a Buffet-favored trading house based in Japan, investing JPY tens of bns. Meanwhile, World Economic Forum President Borge Brende has been urging the application of certain economic measures without which he claims the global economy will face low growth for the coming decade. Elsewhere, international development sharks are circling the ruins of Gaza \u2014 which has been under attack by Israel for almost seven months, resulting in the killing of 34k Palestinians \u2014 to plan for the \u201ceconomic development\u201d of the territory. They plan to rebuild Gaza as a \u201cMediterranean commercial hub.\u201d(Reuters<\/a> | Bloomberg<\/a> | CNBC<\/a> | NYT<\/a>)<\/p>\n

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