Al Ahly Pharos

El Sisi wrapped his Qatar trip with a big investment agreement, which saw the Gulf state further cement warming relations by agreeing to work towards a USD7.5 bn package of direct Qatari investments in Egypt in the near future, according to a joint statement from the two nations.

The Industry Ministry launched the first phase of a new EGP 30 bn financing initiative offering reduced 15% interest rates to seven priority industrial sectors, according to a ministry statement. 

Majid Al Futtaim Holdings’ (MAF) Majid Al Futtaim Properties is investing EGP15 bn in a new mixed-use project dubbed Junction, which will be located next to Mall of Egypt in West Cairo.

Incoming Saudi projects will get the golden license treatment, Prime Minister Moustafa Madbouly told Saudi investors yesterday, according to a cabinet statement.

The House will take its final vote to approve the final balance sheet for the FY 2023-24 state budget and to discuss how well the country tried to balance the books during the last fiscal year. 

Chairman of the Federation of Egyptian Banks and Chairman of the National Bank of Egypt, said that the Egyptian market has absorbed the shock caused by the recent escalatory statements by US President Donald Trump, stressing that between 80 and 90% of the hot money that left the bank at the beginning of the crisis. returned within a short time.

The final accounts for the past FY 2023-2024 showed the highest increase in Egypt's primary budget surplus in five fiscal years, rising to EGP859.5 billion (about USD16.7 billion), recording 6.1% of GDP. Besides, the overall deficit recorded a drop to 3.6% of GDP supported by Ras Al Hekma deal funds.

MTIE net profit came in at EGP1.06 billion in 2024, compared to EGP687 million in 2023, an increase of 54.7% YoY. MTIE is trading at 2025f P/E of 6.9x.

RACC net profit came in at EGP339.9 million in 2024, compared to EGP159.7 million in 2023, an increase of 112.8% YoY. 

EKHO to distribute cash dividend of USD0.035/share on 29 April 2025 for shareholders of record on 23 April 2025. 

According to local media, TMGH launched a new phase in its Banan project in Saudi Arabia.

Chamber of pharmaceutical industries intend to submit a request to ministry of Industry to secure funds of EGP1 billion for the sector's companies in light of the EGP30 billion initiative. 

- Market Overview 

- EFIH

- ETEL

- COMI

- CIEB

- HRHO

- prepared by : Mayada Amin- CETA, CFTe

Saudi players have been signaling interest in possibly expanding their investment footprint in Egypt. Saudi companies could raise their investments in Egypt by as much as USD15 billion over the next four years to USD50 billion.

Batterjee Holding has earmarked USD200 million to invest in Egyptian real estate and industry. Batterjee mentioned the pharma, food, building materials, and plastics industries as target sectors. 

An Egyptian-Saudi real estate fund could be in the cards. The fund could, if formed, manage a portfolio of investments under the purview of the New Urban Communities Authority (NUCA) and the Tourism Development Authorit

Increasing Qatari investor appetite for Egypt was high on the agenda of President El Sisi’s trip to Doha, with the President meeting with senior government officials that included the country’s prime minister, foreign affairs minister, finance minister, foreign trade minister and leaders in the business community to stress the investment case for Egypt.

The Prime Minister directed the Ministry of Investment to reconstitute the Egyptian-Qatari Business Council, which had been inactive since 2014.

The Tourism Ministry is setting up a tourism-focused investment platform.

Cheiron Energy aims to kick off operations at West El Burullus gas field by 3Q25, with the goal of adding 50 million cubic feet per day (mcf/d) to its production output.

EFIC approved cash dividend distribution of EGP1.09/share (DY 0.7%) to be distributed over three equal tranches on 30 April, 20 August, and 30 September 2025. 

MFPC general assembly approved cash dividend distribution of EGP3.50/share (DY 8%) for 2024, distributed over 2 tranches. The assembly also approved bonus share distribution of 0.379 share for every original share. 

SKPC general assembly approved cash dividend distribution of EGP1.00/share (DY 5%) for 2024. The assembly also approved the distribution of 226.8 million bonus shares at a rate of one share for every four held.

SUGR’s general assembly approved cash dividend distribution of EGP3.50/share for FY24, implying payout ratio of 34.5% and dividend yield of 7.3%.

Arla Foods delayed its plans to submit a mandatory tender offer (MTO) to acquire DOMT due to its inability to wrap up legal, financial, and technical due diligence while DOMT is in the midst of a spin-off process.

BTFH has completed its capital increase, bringing its total paid-in capital to EGP21.4 billion. The capital increase was 98% covered, raising EGP10.5 billion. 

HRHO subsidiary, EFG Corp-Solutions, intends to issue short-term bonds worth EGP1.5 billion by the end of 2Q25.

Weekly Commodities Update

- Market Overview 

- prepared by: Mohamed Othman - CETA, CFTe

Monthly urban headline CPI inflation recorded 1.6% in March 2025 compared to 1.4% in February. On an annual basis, urban inflation recorded 13.6% compared to 12.8% in February. 

Egypt’s Fuel Automatic Pricing Committee raised on Friday prices of gasoline and diesel by EGP2, but kept diesel fuel supplied to electricity, food industries, and vehicle gas unchanged.

Fitch Ratings affirmed Egypt's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'B' with a Stable Outlook. 

S&P Global Ratings revised Egypt’s outlook to stable from positive and maintained its B-/B rating for Egypt’s long- and short-term local and foreign currency debt. 

The MPC is scheduled to meet on Thursday to decide on interest rates. We believe the current scene might induce the CBE to act conservatively with a moderate easing, given the uncertainties sweeping global markets triggered by Trump’s trade war in addition to persistent geopolitical risks. Despite the pick-up in inflation reading for March and given the decline in core inflation rate, and also taking into account the current uncertainties, we still believe the CBE has the room to ease by up to 200 bps in its upcoming meeting on 17 April 2025.

The Madbouly government has plans to set up two integrated textile industrial zones in Minya and Fayoum at a total cost of EGP27 billion.

Private companies accounted for 72% of Egypt’s wheat imports in 1Q25, while the government secured the remaining 28%. 

Total interbank market transactions surpassed the USD3.5 billion mark last week, a significant jump from the USD750 million-1.2 billion the market usually sees changing hands each week. 

Egyptian National Railways signed three contracts worth over USD235 million with US-based Progress Rail to upgrade and maintain parts of the country’s locomotive fleet. 

Some 100 Saudi investors and members of the Saudi-Egyptian Business Council led by the Federation of Saudi Chambers landed in Cairo yesterday to kick off a visit aimed at deepening investment ties between the Kingdom and Egypt.

Egypt is set to officially join the EU’s research and innovation funding program Horizon Europe in November. 

The British Ambassador to Egypt said that his country is currently studying a trade agreement with Egypt aimed at reducing customs duties on some products imported by Cairo from Britain, in exchange for the export of Egyptian agricultural crops such as grapes and strawberries to the United Kingdom.

Italian company Eni has begun negotiations with global entities, led by Baker Hughes, to implement a plan to drill two new wells in the Zohr field in the Mediterranean Sea, with estimated investments ranging between USD300 million and USD400 million.

Data from the CBE revealed that the Ministry of Finance sold on Thursday approximately EGP116.5 billion in six-month and one-year T-bills, surpassing the targeted EGP75 billion in liquidity. 

The European Union has reduced the initial anti-dumping duty applied to hot-rolled flat steel products from Egypt to 12.8% from the 15.6% it proposed late last month.

DOMT’s general assembly approved cash dividends distribution of EGP0.85/share for FY24, implying payout ratio of 47.9% and dividend yield of 3.6%. Dividends will be distributed in May 2025.

- Market Overview 

- COMI

- CIEB

- OIH

- MFPC

- prepared by: Mayada Amin - CETA, CFTe

 Trump dropped new tariff rates on imports from most U.S. trade partners to 10% for 90 days to allow trade negotiations with those countries, while raising the tariffs imposed on imports from China to 125% “effective immediately”.

The EGP dipped against the USD during trading yesterday, setting a new post-float low as the greenback changed hands for EGP 51.72-51.75.

The Sovereign Fund of Egypt (SFE) will begin restructuring five military-owned companies ahead of their planned listing. The firms are filling station operator Wataneya, bottled water company Safi, food manufacturer Silo Foods, fuel retailer Chill Out, and the National Roads Company. The offerings will take place between this year and 2026.

Egypt is planning on issuing USD2 bn in sukuk in 2025 through multiple offerings.

Some 29 French companies discussed plans to invest in the local manufacturing and transport sectors during a meeting with Industry and Transport Minister.

Egypt is preparing to receive a Moroccan government delegation in the coming weeks to continue talks on resolving a trade imbalance between the two countries.

Prime Minister Mostafa Madbouly revealed that Egypt has begun taking preemptive measures to address the global trade war, including hedging the purchase of some strategic commodities, most notably wheat. 

The government has decided not to renew oil price hedging contracts, which expired at the end of last March and covered 35% of the contracts, in light of the sharp decline in oil prices below USD60 per barrel. 

Egypt's trade deficit declined by 0.58% YoY in January, recording USD3.42 billion, compared to USD3.44 billion in January 2024.

Prime Minister Madbouly set the date for offering state-owned assets in downtown Cairo next June.

Two new projects with investments estimated at approximately USD58 million within the scope of the Chinese-owned "TEDA-Egypt" industrial zone in the Suez Canal Economic Zone were founded yesterday, in the home appliances and food industries' sectors.

QNBE (FV: EGP70.00, OW) recorded healthy results where 1Q25 net profit post-minority interest recorded EGP7,186 million (+14% q/q, +2% y/y). The stock is currently trading at 2025 multiples of P/B of 0.6x and P/E of 2.4x.

Banque du Caire proposed capital increase received the approval of the EGX’s listing committee. The bank will increase its issued and paid-in capital by EGP1.5 bn to EGP20.5 bn through issuing 750 mn new shares with a nominal value of EGP2 per share.

PHDC (FV: EGP8.97, OW) Board approved a EGP1.3 billion loan for its subsidiary to finance the construction of 200 hotel rooms in Hacienda White on the North Coast. In addition, the EGM approved a EGP40.0 million capital decrease through retiring treasury shares.

EKHO will pay out cash dividend of USD0.035 per share on its 2024 earnings after its general assembly approved the move. The assembly also approved the distribution of USD14.1 mn in bonus shares.

PHAR stated in an EGX release that the record date for its 2024 dividend of EGP3.0/share is 17th of April, 2025. It added that the dividend will be distributed on two installments, the first one is EGP1.5/share with a distribution date of 24th of April, 2025 and the second one is EGP1.5/share with a distribution date of 15th of September, 2025. 

- Market Overview 

- Prepared by: Mohamed Othman - CETA, CFTe

*Key news articles for today*

The EGP rallied against the greenback yesterday, snapping a four-day slide as one USD changed hands for around 51.33 at both public and private banks, as a handful of foreign portfolio investors cautiously bought back into Egyptian debt. 

Tariff relief could be on its way, with the US considering easing its recently imposed 10% tariff on exports from Egypt’s Qualifying Industrial Zones (QIZs) as well as on some goods subject to most-favored nation (MFN) tariffs.

Trump’s new tariffs on dozens of countries have come into effect, including 104% duties on Chinese goods, deepening his global trade war.

The Finance Ministry now sees Brent crude prices averaging USD77 per barrel from July 2025 through June 2026, down from its previous forecast of USD82 a barrel in the FY 2024-25 budget, a government source said. The government is looking to hedge against future uncertainties by renewing its annual hedging contracts with investment banks.

The current decline in prices and renewed tariff-induced inflation concerns could also prompt the government to consider temporarily postponing fuel price hikes, especially as the average selling price inches closer to the break-even point of USD57 a barrel without government subsidies.

Egypt, France — through the French Development Agency (AFD) and the EU inked nine agreements for soft loans and grants worth a combined EUR262.3 mn for infrastructure projects. The two sides also inked a number of agreements in other sectors.

Italian energy giant Eni has plans to invest around EUR24 bn over the next four years in Egypt, Libya, and Algeria to boost production, each country will get EUR8 bn in investment.

The Ministry of Transport is seeking soft loans from the French Development Agency (AFD) worth USD500 million over the next five years to cover the cost of implementing six future railway and metro projects that require imported components.

ETEL announced distributing 2024’s dividend per share of EGP1.50 on 24th April 2025. Record date is 17th April 2025.

EFIH’s general assembly approved distributing 5 bonus shares for every 10 shares originally held (1 share for every 2 shares). This brings the company’s issued capital to EGP1.733 billion, distributed over 3.467 billion shares.

GBCO’s general assembly approved cash dividends distribution of EGP0.35/share for FY24, to be paid on two tranches, one on April 30, 2025, and the second on July 17, 2025. The record date will be on April 27, 2025. This implies a payout ratio of 13.0% and a dividend yield of 1.7%.

ORWE’s general assembly approved cash dividends distribution of EGP1.60/share for FY24, implying a payout ratio of 48.5% and a dividend yield of 7.0%.

DOMT has given initial approval to a plan to split the company into two separate entities. The firm has appointed Matouk Bassiouny & Hennawy as the legal advisor for the demerger process.

- Market Overview 

- COMI

- CIEB

- EAST

- MASR

- SKPC

- KRDI

- prepared by: Mayada Amin- CETA, CFTe