{"id":664884,"date":"2025-05-08T00:00:00","date_gmt":"2025-05-08T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2025\/05\/08\/analysts-see-aprils-inflation-reading-coming-in-at-13-4-13-9\/"},"modified":"2025-05-08T00:00:00","modified_gmt":"2025-05-08T00:00:00","slug":"analysts-see-aprils-inflation-reading-coming-in-at-13-4-13-9","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2025\/05\/08\/analysts-see-aprils-inflation-reading-coming-in-at-13-4-13-9\/","title":{"rendered":"Analysts see April\u2019s inflation reading coming in at 13.4-13.9%"},"content":{"rendered":"

Good morning, <\/strong>all.<\/strong> We have a packed issue to close out one very busy week. We lead today\u2019s issue with fresh privatization updates detailing the government\u2019s target for the upcoming fiscal year, analysts\u2019 take on April\u2019s inflation figure, and Egypt and Greece signing a strategic partnership.<\/p>\n

PSA- <\/p>\n

<\/a> Investors now <\/strong>have until 22 May to apply for 332 ready-to-use industrial units across 10 <\/strong>governorates<\/strong>, after the Industry Ministry extended the application window by a week from the original 15 May deadline, according to a statement<\/a>. The units, offered under an ownership scheme, are available via the Egypt Industrial Digital Platform<\/a> and span sectors including engineering, food, textiles, pharma, chemicals, building materials, and leather.<\/p>\n

ALSO- Eight new units are up for grabs in phase two of Robbiki Leather City in Badr City <\/strong>for tanning and glue production. <\/strong>The offering includes perks such as financing support for machinery and working capital, the option to apply for multiple units, and cost-based pricing.<\/p>\n

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WEATHER- <\/strong>It\u2019s another sunny day in Cairo, with a high of 34\u00b0C and a low of 22\u00b0C, according to our favorite weather app.<\/p>\n

It\u2019s almost as sunny in Alexandria<\/strong>, with a high of 32\u00b0C and a low of 20\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- Analysts pencil in their predictions for April\u2019s inflation figure: <\/strong>Analysts we spoke to expect inflation to remain close to the 13.6% figure recorded in March, with rising energy prices expected to keep the figure elevated. \u201cWe expect urban inflation to record 13.8% y-o-y and 1.5% m-o-m in April due to the favourable base year effect and increasing energy prices,\u201d HC Securities\u2019 Heba Mounir told EnterpriseAM. Banking expert Hany Abou El Fotouh echoed her statement, expecting April\u2019s reading to come in at 13.8-13.9%, \u201cconsidering the recent fuel price hikes and the demand pressure during holiday season.\u201d Banking expert Mohamed Abdel Aal also expects urban headline inflation to rise to 13.9% and core inflation to hit 9.5% in April, while Thndr Securities Brokerage\u2019s Chief Equity Strategist Amr El Alfy sees the annual headline inflation figure coming in at 13.4% and inflation rising by 0.9% m-o-m.<\/p>\n

When do we get the figure? <\/strong>Capmas should publish April\u2019s inflation reading on Saturday. <\/p>\n

REMEMBER- <\/strong>The Oil Ministry\u2019s fuel pricing committee raised<\/a> fuel prices by 11.8-14.8% last month, in what was the government\u2019s first fuel price hike since October 2024<\/a>. Analysts we spoke to last month all agreed that the price hike will add to inflationary pressures \u2014 and even push up the headline figure.<\/p>\n

Where the rates stand now: <\/strong>Annual headline urban inflation hit 13.6% in March<\/a>, marking an 0.8 percentage point increase from the 12.8% recorded in February. The figure ended a four month-long downward trend. On a monthly basis, inflation edged up by 0.2 percentage points to 1.6%.<\/p>\n

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<\/a> #2- Brics\u2019 New De<\/strong>velopment Bank (NBD) is preparing to launch its first financing operation in <\/strong>Egypt<\/strong>, Chief of the Procurement, Environmental Social, and Governance Department at the bank Anand Kumar Srivastava told Asharq Business (watch, runtime: 2:10<\/a>). \u201cEgypt is one of our most recent members, and we see great potential for projects that support the Egyptian economy and infrastructure development,\u201d he said. The bank is currently in the early stages of identifying and evaluating potential projects, with loan agreements set to follow. It aims to build a sizable investment portfolio in the upcoming years, focusing on infrastructure projects.<\/p>\n

REMEMBER-<\/strong> Egypt is looking to secure a USD 1 bn<\/a> \u2014 or its equivalent in another currency \u2014 soft loan from the NBD this year. The government is working with private-sector partners on projects eligible for NDB financing. Meanwhile, the NBD plans to scale up investments<\/a> in Egypt\u2019s electricity and renewable energy sectors.<\/p>\n

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CIRCLE YOUR CALENDAR- <\/p>\n

<\/a> The Egyptian-US Investment Forum is coming later this month:<\/strong> Egypt will host the two-day Egyptian-US Investment Forum at the end of May, according to a cabinet statement<\/a>. The forum will bring together representatives from major US companies and the American Chamber of Commerce and will shed the light on potential investments in Egypt, include those in the Suez Canal Economic Zone.<\/p>\n

AND- An<\/strong> Egyptian-S<\/strong>wedish Business Forum is on the agenda for late May:<\/strong> Egypt and Sweden will hold a business forum later this month to boost economic ties and promote investment, according to a statement<\/a>. The forum will feature B2B sessions with major Swedish firms and include representatives from the Swedish Post and Telecom Authority.<\/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

Global powers are rushing to calm the flammable situation in South Asia<\/strong>, while Pakistan is vowing a swift response<\/a> that it promised will target military assets and stay clear from civilians. India\u2019s widespread attacks in Kashmir and other provinces ended up killing 31 and injuring dozens, while Pakistan\u2019s retaliation is estimated to have caused 12 casualties and tens of injuries.<\/p>\n

OVER IN THE US- <\/strong>The Trump administration is planning to ease<\/a> Biden\u2019s last-minute restrictions on exports of advanced AI chips, introduced in January and set to take effect on May 15. The tiered system \u2014 which divided countries into three tiers that were allowed to receive unlimited, capped, or no exports \u2014 will reportedly be cancelled<\/a>, and likely replaced with new rules aiming at handing the US more control over chips abroad. Shares of chipmakers rose on the news, with Nvidia up over 3%.<\/p>\n

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