{"id":667665,"date":"2025-07-01T00:00:00","date_gmt":"2025-07-01T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2025\/07\/01\/govt-is-looking-to-complete-the-fifth-review-of-our-imf-program-this-month\/"},"modified":"2025-07-01T00:00:00","modified_gmt":"2025-07-01T00:00:00","slug":"govt-is-looking-to-complete-the-fifth-review-of-our-imf-program-this-month","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2025\/07\/01\/govt-is-looking-to-complete-the-fifth-review-of-our-imf-program-this-month\/","title":{"rendered":"Gov\u2019t is looking to complete the fifth review of our IMF program this month"},"content":{"rendered":"

Good <\/strong>morning<\/strong>, folks, and a happy new fiscal year. <\/strong>We kick off the first day of FY 2025-26 with good news \u2014 the economy grew at a 4.8% clip during 3Q FY 24-25, marking its strongest quarterly performance in three years, and we\u2019re in for fresh investments from China. <\/p>\n

PSA- <\/p>\n

WEATHER- <\/strong>It\u2019s another sunny day in Cairo, with a high of 37\u00b0C and a low of 25\u00b0C, according to our favorite weather app.<\/p>\n

It\u2019s a lot cooler in Alexandria<\/strong>, with a high of 31\u00b0C and a low of 22\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- The govern<\/strong>ment is working to wrap up its fifth review with the International Monetary <\/strong>Fund (IMF) before the end of <\/strong>June<\/strong> July. <\/strong>Ongoing negotiations with the IMF should lead to the Fund and local authorities reaching a staff-level agreement on the fifth review of our USD 8 bn program by the end of July \u2014 and with it unlocking the USD 1.3 bn fifth installment of the Extended Fund Facility Arrangement \u2014 a government source told EnterpriseAM yesterday.<\/p>\n

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#2- The state i<\/strong>s transferring assets to the Environment Ministry in preparation for a host <\/strong>of <\/strong>programs funded by the IMF\u2019s USD 1.3 bn <\/strong>Resilience and Sustainability Facility<\/a><\/strong>, a government source told EnterpriseAM. The first transfer saw renewable project, power plant, and mass transit assets totalling EGP 1 bn being given to the ministry by the electricity, transport, and housing ministries.<\/p>\n

The transfer of<\/strong> the assets will be followed by the Fund beginning to release tranches <\/strong>under the facility<\/strong>, which will be done in parallel with the launch of targeted projects. We\u2019re still yet to get a clear picture of the timeline and size of the tranches.<\/p>\n

An in-the-works asset registry will help the state issue sustainable sukuk and bonds <\/strong>secured by these assets<\/strong>, which will then be expanded into a risk mechanism for the program in cooperation with the IMF, we were told.<\/p>\n

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#3- The EGX may soon become a route to state investment incentives under a proposal <\/strong>in discussion <\/strong>with government bodies<\/strong>, EGX Executive Chairman Ahmed El Sheikh told Hapi Journal in an interview (watch, runtime: 3<\/a>4:42<\/a>). Companies that list at least 20% of their shares and support Egypt\u2019s FX position \u2014 by exporting or replacing imports \u2014 could qualify for benefits under the Investment Act, he said.<\/p>\n

IN CONTEXT- <\/strong>Earlier this month, we reported that the EGX asked to delay the implementation<\/a>of the stamp tax<\/a> on EGX transactions as it works on incentives to offset its impact, including proposed amendments to tax, investment, and capital markets laws. These aim to boost listings, raise market cap, and improve liquidity.<\/p>\n

The plan would make EGX listings a formal condition for incentives<\/strong>, similar to those granted based on location or sector, he added. It\u2019s a bid to link going public with delivering macroeconomic value.<\/p>\n

No new legislation is needed<\/strong> \u2014 just a tweak to the Investment Act\u2019s executive regulations, now being coordinated with the General Authority for Investment and Freezones and the Investment Ministry, El Sheikh said.<\/p>\n

MEANWHILE-<\/strong> A Nilex-listed fertilizer company is preparing to move to the EGX main market after acquiring unlisted firms, El Sheikh added. The merger will create a larger entity eligible for main market trading, pending completion of acquisition procedures and regulatory disclosures, he said. El Sheikh noted the company's capital could grow from EGP 40-50 mn to nearly EGP 1 bn post-merger, though no timeline was given for the move.<\/p>\n

HAPPENING TODAY-<\/p>\n

<\/a> #1- Prime Mi<\/strong>niste<\/strong>r Moustafa Madbouly is in Spain to talk development finance during the <\/strong>UN\u2019s <\/strong>International Conference on Financing<\/a><\/strong>for Development<\/a><\/strong>, which is taking place in Seville until 3 July, according to a cabinet statement<\/a>. Madbouly is joined by Planning Minister Rania Al Mashat and Finance Minister Ahmed Kouchouk.<\/p>\n

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<\/a> #2- El Khatib is in Prague to talk investment:<\/strong> Investment Minister Hassan El Khatib is in Prague, leading a delegation participating in the second Egyptian-Czech Joint Economic Committee \u2014 the first such gathering in nine years, according to a statement<\/a>. El Khatib will also attend the Czech Business Forum, where some 42 Czech companies in auto, renewables, textiles, medical supplies, and chemicals will explore potential investments in Egypt. El Khatib's agenda also includes talks with Czech Industry and Trade Minister Luk\u00e1\u0161 Vl\u010dek and meetings with major Czech investors eyeing expansion in Egypt.<\/p>\n

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#3- Senate elections are upon us: <\/strong>The National Elections Authority is holding a presser today to announce the ins and outs of the upcoming senate elections. <\/p>\n

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#4- Attention, e<\/strong>xecutives.<\/strong> AUC\u2019s Onsi Sawiris School of Business is giving a taste of its Executive MBA program<\/a> with an online session to \u201cexplore how leaders can drive transformation, adapt to change, and lead with clarity in uncertain times\u201d<\/a> at 7pm tonight, held by Imperial College Business School Associate Professor Namrata Malhotra. You can find the link to register<\/a> for the webinar on the business school\u2019s LinkedIn account.<\/p>\n

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NEWS TRIGGERS- <\/p>\n

It\u2019s the first day <\/strong>of July<\/strong> \u2014 here are the key news triggers to keep your eyes on this month:<\/p>\n