Inflation for February: Annual urban inflation jumped to 8.8% compared to 7.2% in January; Monthly reading is 1.6% up from 0.9% in January, on soaring food prices, and unfavorable base effect

The government will try to absorb the costs of the rising commodity prices “as much as possible” and relieve the inflationary impact on the public

The government budget has EGP170 billion of emergency provisions to face the repercussions of the current crisis between Russia and Ukraine

Egypt’s exports recorded growth of more than 15% YoY in the first two months of 2022

The WB expected Egypt’s tourism sector to witness stagnation, as  Russians and Ukrainians make up at least a third of tourist arrivals

US and European stocks had their best day since 2020 on hopes of a diplomatic solution to the Russia-Ukraine conflict

Brent fell 12% to USD 112 a barrel after the UAE’s US ambassador suggested that the country would push OPEC+ to increase supply

Rising natural gas prices force Norwegian fertilizer produce, Yara International, to temporarily cut production of Ammonia and Urea to 45%; Urea-April delivery reached USD1,025 per ton and May delivery is at USD935/ton

ABUK BoD agreed to study the establishment of a project to produce hydrogen and green ammonia, in cooperation with the French energy company "Total"; RAKT might sell an unutilized land plot to ABUK

MFPC reported strong results for 2021. Attributable net income came in at EGP4.791 billion, up 93% on an annual basis on Urea prices and lower financing expenses; 4Q21 bottom line came in at EGP1.272billion, +57% YoY; Stock is trading at a 2022 P/E of 4.28x, EV/EBITDA of 3.55x

KIMA turned profitable in 1H FY21/22, achieving EGP331.23 million, compared to a loss of EGP631.26 million in 1H20/21, in light of the increase in revenues from EGP691.16 million to EGP2.11 billion during the same periods, respectively

ESRS has raised the price of rebars, again, by EGP 1,500/ton (+10% WoW) to EGP 17,000/ton (including VAT)

Steel producers are reporting difficulty in securing raw materials since the Russian-Ukrainian war started since 70-80% of their pellets and scalp needs were secured from Russia; Producers are trying to secure raw material needs from other countries, including Turkey and India

EFIH management guided for 2022 revenue growth of high 40s (compared to our estimate of 40.7% YoY, EGP2.76 billion) and 2022 NPM guidance of mid-high 20s (compared to our estimate of 29.1% YoY, EGP806 million)

EFIH net profit recorded EGP520 million, + 47.5% YoY 4Q21 net profit came in at EGP139 million (+85.7% YoY) Contraction in net profit is attributed to a higher effective tax rate during 2021 of 30.0% (+7.1pps YoY); BoD proposed distributing a DPS of EGP0.10/share (DY of 0.5%);  EFIH is currently trading at 2022f P/E of 39.3x and 30.4x

Banks now have until 14 September 2022 to comply with the new minimum capital requirements required by the 2020 Banking Act (EGP5 bn). 

CBE has highlighted additional exclusions from paying imports value in any of the accepted banking methods, such as imports below USD25k or its equivalent in other currencies

EGBE received approval from FRA regarding its bonus shares distribution from the 2020 bottom-line, translating into 0.0717 bonus shares per share. BOD has approved another round of capital increase financed from the 2021 bottom line translating into 0.0738 bonus shares per share. The bank’s capital will stand at EGP7.6 billion.

HRHO’s arm Corp-Solutions has signed an EGP600 mn sale and leaseback agreement with real estate developer LMD 

CNFN’s factoring arm has received requests for factoring worth EGP250 million; Company aims to record net financing facilities worth EGP1 billion during 20