{"id":664806,"date":"2025-05-07T00:00:00","date_gmt":"2025-05-07T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2025\/05\/07\/a-second-larger-subsidized-loan-program-for-hospitality-players\/"},"modified":"2025-05-07T00:00:00","modified_gmt":"2025-05-07T00:00:00","slug":"a-second-larger-subsidized-loan-program-for-hospitality-players","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2025\/05\/07\/a-second-larger-subsidized-loan-program-for-hospitality-players\/","title":{"rendered":"A second, larger subsidized loan program for hospitality players?"},"content":{"rendered":"

Good mor<\/strong>ning, fri<\/strong>ends. <\/strong>We have another packed issue for you this morning, led by April\u2019s PMI reading, a fresh update on the planned stamp tax, and net foreign reserves continuing their decline. <\/p>\n

PSA- <\/p>\n

<\/a> #1- Don\u2019t fall f<\/strong>or unlicensed schemes: <\/strong>The Financial Regulatory Authority (FRA) issued a warning<\/a> urging citizens to avoid unlicensed entities promoting investments in gold, crypto, real estate, or securities. Currently, there are only three licensed gold investment funds in Egypt, and any platform offering investment without the FRA approval is illegal. A blacklist of violators will be shared with the public soon, the FRA said.<\/p>\n

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<\/a> #2- Egyptians will b<\/strong>e able to access the country\u2019s antiquities museums free of charge <\/strong>on Sunday, 18 May<\/strong> in celebration of International Museum Day, after the Supreme Council of Antiquities' board approved<\/a> the decision. However, the decision does not include the Egyptian Museum in Cairo, the National Museum of Egyptian Civilization, or the Grand Egyptian Museum.<\/p>\n

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WEATHER- <\/strong>It\u2019s another warm day in Cairo, with a high of 34\u00b0C and a low of 21\u00b0C, according to our favorite weather app.<\/p>\n

It\u2019s a little cooler in Alexandria<\/strong>, with a high of 30\u00b0C and a low of 19\u00b0C.<\/p>\n

** DID YOU KNOW that we now cover <\/strong>Saudi Arabia<\/a><\/strong> and the <\/strong>UAE<\/a><\/strong>?<\/strong><\/p>\n

** Were you forwarded this email?<\/strong> Tap or click here<\/a> to get your own copy delivered every weekday before 7am Cairo time \u2014 without charge.<\/p>\n

WATCH THIS SPACE- <\/p>\n

<\/a> #1- <\/strong>Could we exp<\/strong>ect<\/strong> a blackout-free summer? <\/strong>The Oil Ministry plans to increase natural gas supply to power plants to 3.3 bn cubic feet per day starting June, marking a 22% increase from the quantities supplied during 1Q 2025, a government source told Al Arabiya<\/a>. Nine power plants that partially operate on mazut will also see an increase in mazut supplies to 32k tons per day in June, compared to 25k tons a day in May. The additional supply is expected to meet high energy demand in the summer months.<\/p>\n

Thinking ahead: <\/strong>The Oil Ministry is currently in talks with a number of international natural gas suppliers to secure long-term LNG contracts extending to 2028 or 2030, the source said.<\/p>\n

REFRESHER- <\/strong>Egypt is expected to receive between five to six gas shipments per month during the summer months to meet rising demand, a senior government official has previously told<\/a> us.<\/p>\n

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#2- Gov\u2019t wants to make it easier for global brands to enter the country: <\/strong>The Madbouly government will mull the creation of a \u201cwhitelist\u201d of international brands to facilitate their customs clearance following Prime Minister Moustafa Madbouly\u2019s directives, according to a statement<\/a>. The measure is among several under consideration to ease market entry for foreign labels and support the state\u2019s goal of turning Egypt into a shopping destination for tourists. The list would be part of a broader package of regulatory and digital reforms currently being formulated to streamline brand registration, reduce customs and tax burdens, and promote Egypt as a regional retail hub.<\/p>\n

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<\/a> #3- Hospitality players could be in for a larger subsidized loan program: <\/strong>The Tourism Ministry is looking to secure some EGP 200 bn to launch the second iteration of the subsidized loan program for hospitality players, Tourism Minister Sherif Fathy told Asharq Business (watch, runtime: 5:21<\/a>). The second iteration of the program will be a little different than the first, with the ministry focusing on establishing new entities or new hotels instead of just adding rooms to existing hotels, Fathy said..<\/p>\n

When is it coming?<\/strong> \u201cIt won\u2019t be very soon, because when we discussed it with the Finance Ministry and the central bank, they requested pushing it for sometime,\u201d Fathy told the news outlet.<\/p>\n

REMEMBER-<\/strong> The Madbouly government launched a EGP 50 bn program<\/a> in October offering subsidized loans to tourism players at a 12% interest rate, providing tourism operators with extended support to expand facilities and accommodate an anticipated growth in visitor numbers.<\/p>\n

DATA POINT-<\/p>\n

IFC to invest USD 1 bn in Egypt\u2019s agri-food sector this year:<\/strong> The International Finance Corporation (IFC) plans to invest USD 1 bn in Egypt\u2019s agriculture and food industries during 2025, an IFC official told Al Shorouk<\/a>. The official said the IFC is focusing on high-potential crops across North Africa, which include tomatoes, strawberries, onions, and citrus in Egypt.<\/p>\n

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CIRCLE YOUR CALENDAR- <\/p>\n

Egypt will h<\/strong>ost a delegation from the European Commission late in May <\/strong>to finalize negotiations to unlock a tranche of the EUR 4 bn grant from the EU, according to a statement<\/a>. The financing \u2014 part of a broader EUR 5 bn macro-financial assistance package agreed in March 2024 \u2014 was approved by the European Parliament last month<\/a>.<\/p>\n

ICYMI- <\/strong>Planning Minister Rania Al Mashat told us<\/a> earlier this week that Egypt is following up with the European Commission on the structural reform measures tied to the second phase of the package. Meanwhile, EU Ambassador to Cairo Angelina Eichhorst was quoted as saying that the tranche will land in state coffers within weeks.<\/p>\n

Check out our full calendar on the web<\/a><\/strong> for a comprehensive listing of upcoming news events, national holidays and news triggers.<\/p>\n

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

It\u2019s all about conflicts escalating (and de-escalating) in the global press this morning.<\/strong><\/p>\n

Tensions are flaring on the Indian-Pakistani border<\/strong>, with Delhi mounting targeted aerial<\/a>attacks<\/a> against what it called \u201cterrorist sites\u201d inside Pakistan and the Kashmir province, killing eight and injuring dozens. The attacks have been framed as a retaliation against deadly terrorist attacks that hit India last month.<\/p>\n

Pakistani military officials said <\/strong>they shot down five Indian planes<\/a><\/strong> in response, and that troops are exchanging fire along the ceasefire line in Kashmir.<\/p>\n

CLOSER TO HOME- Oman said in a surprise announcement it <\/strong>brokered a ceasefire<\/a><\/strong> last night between <\/strong>Yemen\u2019s Houthis and the US<\/strong>, shortly after US President Trump confirmed strikes on the Houthis will stop in return for an end to attacks on US ships in the Red Sea. The ceasefire apparently blindsided Israel, just hours after waging airstrikes<\/a> that took Yemen\u2019s main airport out of service.<\/p>\n

Trump also hinted at a <\/strong>\u201cvery, very big announcement\u201d<\/a><\/strong> ahead of his scheduled trip to the Middle East next week, stopping short of providing any details but saying it\u2019s \u201creally positive.\u201d<\/p>\n

The teaser came during <\/strong>a tense-but-civil meeting<\/a><\/strong> in the Oval Office with Canadian PM <\/strong>Mark Carney<\/strong>, where Carney assured Canada is \u201cnot for sale,\u201d to which the Donald responded, \u201ctime will tell.\u201d The meeting aimed to bridge differences on tariffs and trade.<\/p>\n

SPEAKING OF TRADE- <\/strong>US Treasury Secretary Scott Bessent is heading to Switzerland this week for the <\/strong>first officially confirmed trade negotiations with China<\/a><\/strong>, sparking hopes of de-escalation between the world\u2019s two largest economies.<\/p>\n

ALSO WORTH READING THIS MORNING-<\/strong><\/p>\n