Al Ahly Pharos

- Market Overview 

- COMI

- HRHO

- FWRY 

- EFIH

- AMOC

- PHDC

- prepared by: Mayada Amin- CETA, CFTe

*Key news articles for today*

 The IMF raised Egypt’s economic growth to 3.8% YoY this fiscal year, up 0.2pps from its January forecast. Its projection for the coming fiscal year was also up, likewise coming in 0.2pps higher from its previous projection to 4.3% YoY. The IMF also sees inflation continuing to dip this fiscal year to a monthly average of 19.7% YoY.

The IMF forecasts global growth to log 2.8% in 2025, down 0.5 percentage point from previous estimates. Growth is expected to edge up to 3.0% in 2026, though this remains below the IMF’s earlier projections at 3.3%.

Kuwait is considering converting its c. USD4 billion deposits at the CBE into direct investments similar to the "Ras Al-Hikma" one.

The Ministry of Petroleum aims to gasify 1.6 billion cubic feet per day of imported LNG starting next June through three to four gasification vessels, an increase of approximately 1.2 billion cubic feet compared to the quantities gasified during the winter of approximately 300 to 400 million cubic feet per day.

The Finance Ministry is planning to introduce amendments to the Value Added Tax (VAT) Law that would scale back exemptions on sugar. Also, on the VAT exemption chopping block are training services, along with soap detergents. 

The Finance Ministry raised its target for cigarette tax revenues to EGP111.7 bn, up from EGP95 bn this year. The first tax-driven price hike for cigarettes — a 12.5% increase — is slated for November, with no earlier adjustment expected unless diesel or fuel prices climb, according to the head of the Federation of Egyptian Industries’ tobacco division.

Three Chinese business delegations are headed to Cairo next month to discuss investment across multiple sectors. 

Moroccan multinational outsourcing player Intelcia has inaugurated a new regional headquarters in Sheikh Zayed.

MICH posted 9M24/25 key indicators recording a 15% YoY drop in bottom line to EGP428.3 million on lower FX gains despite a 19% YoY growth in revenue to EGP781.9 million.

ORWE’s subsidiary Oriental Industrial Projects (OIP) wants to set up a EGP300 mn SME-focussed complex in Ain Sokhna. The complex will house 20 industrial units and wrap up construction in 2025.

ETEL revised its 2024 dividends’ distribution date to 23rd of April 2025, instead of 24th of April 2025.

EGTS’s next court date for the 20.0 million sqm third phase Sahl Hasheesh land plot lawsuit is on 1 July 2025.

- Market Overview 

- BTFH

- EMFD

- EHDR

- FWRY

- ELSH

- Prepared by: Mayada Amin- CETA, CFTe

The Monetary Policy Committee decided on Thursday to cut policy rates by 225 basis points to 25% and 26% for overnight deposit and overnight lending rates respectively. 

The government is planning to replace many of the various fees charged by different entities with a single unified additional tax on net income, which aims to streamline the tax system and reduce the administrative burden on businesses. 

Saudi-owned agribusiness and Alkhorayef Group subsidiary Rakhaa for Agricultural Investment and Development is planning to list 30% of its shares on the EGX in a secondary offering in 2H 2025, Alkhorayef’s Managing Director Abdullah Alkhorayef said.

Chevron’s Red Sea exit is now official, with statements from the US energy giant and the Oil Ministry confirming that it has withdrawn from its 45% stake in Red Sea Block 1, citing the lack of energy finds. 

The African Development Bank (AfDB) plans to funnel USD300 mn into Egypt’s private sector this year, Planning and International Cooperation Minister Rania Al Mashat said.

More than 115 companies in the pharmaceutical and building materials sectors have submitted applications to the Industrial Development Authority to obtain financing totaling more than EGP8.5 billion, as part of the first phase of the initiative to finance priority industrial sectors at a 15% interest rate, according to officials from the Federation of Egyptian Industries.

An official at the Ministry of Agriculture said that Egypt will not need to import sugar starting next year, after local production reached record-highs.

COMI announced that it will cut interest rates on its savings accounts and its certificates of deposits (CDs) by 225 bps, starting today. 

MASR AGM approved the distribution of cash dividends of EGP0.25/share (DY of 5.5%) to be distributed over two installments in May and October 2025.

EGCH resumes operations at its ferrosilicon plant in Aswan, following a five-year hiatus. 

- Market Overview 

- TMGH

- ORHD

- MENA

- ELSH

- ELKA

- Prepared by: Mayada Amin- CETA, CFTe

The MPC is scheduled to meet later today to decide on interest rates. We believe the CBE has the room to ease by up to 200 bps in its meeting today.

The Finance Ministry has more than doubled its target for international debt issuances in the draft budget for the next fiscal year, coming in at a total of EGP400 billion (USD8 billion), up from EGP150 billion (USD3 billion) in the current fiscal year, according to official figures. 

Remittances from Egyptians abroad continued their upward pace at the start of the year, rising 83.2% y-o-y to USD2.9 billion in January, according to a statement from the CBE.  

The Finance Ministry expects Suez Canal revenues from transit fees to almost double to USD6.3 billion in the budget draft for FY25/26, compared to USD3.7 billion estimated in the current fiscal year. 

Suez Canal revenues reached USD3.99 billion in 2024, a 61% decrease compared to USD10.25 billion in 2023, due to lower tonnage, impacted by Red Sea disruptions. 

Property developer Landmark for Real Estate Development (LMD) is in talks with the Egyptian government to develop a new USD4 billion mixed-use project in Cairo, Managing Partner Hamad Al Abbar said.

Chevron — the operator of the last active exploration block in the Red Sea — is reportedly on its way out of the block it operates, Asharq Business reported, citing an unnamed government source. 

Investment Minister Hassan El Khatib and Tunisian Prime Minister Sara Zaafarani discussed putting into motion a proposal to establish a joint bank to facilitate investment and trade between the nations, according to a ministry statement.

Petroleum products' subsidies increased by about EGP28 billion during the 9M24/25, reaching EGP104.9 billion, compared to EGP76.3 billion in the comparable period a year before.

MBSC attributable bottom line recorded an impressive EGP495.0 million (+295% YoY, +199% QoQ) during 4Q24, bringing FY24 attributable bottom line to EGP833.5 million (+126% YoY). Enhanced profitability came on the back of sturdy revenue growth and operating margin expansion that trickled down to bottom line. MBSC is trading at FY25e P/E of 8.4x. 

MBSC BoD approved a capital decrease through the cancellation of treasury shares amounting to 6.1 million shares at a value of EGP61.1 million, resulting in issued and paid-in capital of EGP550.2 million.

EFIC will distribute cash dividends of EGP15.00/share over three equal tranches on 30 April, 20 August, and 30 September 2025, for shareholders on record on 27 April 2025. This implies a dividend yield of 10% and a payout ratio of 62% of FY24 earnings. 

MFPC will distribute cash dividends of EGP1.00/share on 7 May 2025 and EGP2.50/share on 30 September 2025 for shareholders on record on 4 May 2025. DPS totals EGP3.50/share for FY24, implying a dividend yield of 8% and a payout ratio of 48% of FY24 earnings.

OCDI intends to sign a co-development agreement with Midar in 3Q25 to develop a 4.2 million sqm land plot in East Cairo.

- Market Overview 

- prepared by: Mayada Amin- CETA, CFTe

*Key news articles for today*

 The House has passed the new Labor Act. The new act needs to be published in the Official Gazette and we’ll need to see the executive regulations to it. The country’s specialized labor courts (a key feature of the law) are expected to start operating on 1 October 2025 when the new judicial year kicks off.

Finance Minister Ahmed Kouchouk delivered his budget statement to the House. Highlights of the budget include:

1. Egypt’s real GDP growth is expected to accelerate to 4.5% in the coming fiscal year, up from an estimated 4.0% in FY 2024-25.

2. The gov’t sees the primary surplus reaching 4.0% of GDP.

3. A 23.0% y-o-y jump in public revenues to EGP 3.1 tn and a 19.2% y-o-y rise in expenses to EGP 4.6 tn.

4.  The government is aiming to raise some EGP2.6 tn in tax revenues in the upcoming fiscal year.

5. The government targets decreasing the public debt to GDP to 81% by end of June 2026 and decreasing the external debt of budget sector by up to USD2 billion annually.

Egypt hopes to attract some USD4 bn in new Kuwaiti investments this year — part of a wider USD6.5 bn target through the end of 2026.

Eni plans to drill two new gas wells in Egypt’s Zohr field next year, with an estimated investment of USD360 million.

The African Export-Import Bank (Afreximbank) intends to provide USD2 billion in financing to Egypt during the current year, divided between direct and indirect financing. The direct financing will be directed to Egyptian banks and strategic commodities, while the indirect financing will focus on supporting projects implemented by Egyptian companies in other African markets.

ORAS announces the start of commercial operations of 500 MW at the newly expanded 650 MW Build-Own-Operate (BOO) wind farm in Ras Ghareb, Egypt six months ahead of schedule. ORAS owns 25% of the project. 

ORHD (FV: EGP34.74, OW) Board approved the distribution of EGP0.384/share cash dividends, implying a dividend yield of 1.7%.

HELI (FV: EGP18.84, OW) received three offers to co-develop its 52k sqm land plot in Mansoura.

Italian chemicals manufacturer Mapei has inaugurated the first phase of its second Egypt factory — a EUR25 million plant in Tenth of Ramadan — to produce chemical and insulation materials. 

China’s Binhua Group — or Befar — broke ground on their USD500 million chlor-alkali production facility in the China-Egypt TEDA trade zone, according to a statement from the Suez Canal Economic Zone (SCZone). The big-ticket project is split between a USD300 million first phase — to be completed within 18 months — and a second USD200 million second phase. 

- Market Overview 

- PHDC

- TMGH

- EFIH

- EKHOA

- FWRY 

-.prepared by: Mayada Amin- CETA, CFTe