Pre-Trading Thoughts

Al Ahly Pharos

The MPC will meet today to decide on policy rates. We expect a hike of as much as 200bps, as the CBE keeps an eye on the inflation round-two effect and shrinking negative real interest rates.

CBE Governor: Negotiations between Egypt and the IMF for a fresh assistance program are focusing on a limited amount of funding. The March devaluation of the EGP resulted in a 30% increase in foreign exchange revenues. The banking sector in Egypt is extremely liquid.

The Ministry of Electricity will decide on the new electricity tariff to be implemented starting July 2022 within two weeks. There is no intention to increase the tariff for the industrial sector until 2025.

Five British companies are looking to invest USD2 billion in renewable energy and hydrogen projects in Egypt.

CNFN is bidding to securitize EGP1.5 bn worth of future cash flows on behalf of CIRA.

HRHO’s subsidiary Valu is partnering with Majid Al Futtaim (MAF) to introduce its ‘Sha2labaz’ consumer finance product at MAF’s flagship Mall of Egypt and City Centre Almaza Mall.

The Consumer Protection Agency will today decide whether to raise the price cap on cars by 5-10% after distributors and dealers made an official request in light of rising operating costs.

Commissioners’ Authority report on EGTS’s case regarding the 20.0 million sqm third phase Sahl Hasheesh land plot is scheduled to be reviewed on 21 May 2022.

Sphinx International Airport is planned for opening in mid-July 2022.