The Federal Reserve raised its benchmark interest rate to the highest level in 15 years by half a percentage point. Officials expect to keep rates higher through next year, with no reductions until 2024.

According to a draft law to amend some provisions of the income tax law, the Egyptian government intends to impose a new tax bracket of 27.5% on individuals’ income that exceeds EGP800,000 annually (USD32,000). The draft also includes:

• Bypassing the unpaid capital gains tax due on the disposal of shares listed on EGX during the period from January 2022 until the date of entry into force of the law’s amendments.
• Deducting 50% of the capital gains achieved for individuals from the initial offerings, for a period of two years from the date of entry into force of the amendments to the income tax law.

 
The Egyptian government aims to increase its tax revenue during the current fiscal year 2022-2023 by about 18.8%. It also seeks to increase its revenues from payroll tax by 18.6%.

Retailers have two weeks to start clearly displaying the prices of all their goods under efforts aimed to tame food price inflation.

To make it easier for Egyptians living abroad to buy a car under the government’s new car import scheme, buyers will no longer be required to deposit fees for the program three months before transfers are made. They can instead provide to the government with a bank statement as proof of their ability to pay.

The Cabinet awarded golden licenses to eight investment projects including a USD5.5 billion green ammonia plant in Ain Sokhna. 

Egypt targets increasing exports to Africa to USD10 to 15 billion within four years. 

Oil prices increased on Wednesday after OPEC and the International Energy Agency (IEA) forecast a rebound in demand over the course of next year and as US interest rate hikes are expected to ease further alongside slowing inflation.

The 100 MW green hydrogen plant being developed by Scatec, Fertiglobe and ORAS (FV: EGP106.90, OW) received a license from cabinet yesterday. 

The EGX has approved the temporary listing of the Damietta Container & Cargo Handling Company’s shares ahead of a potential IPO next year.

Haleon — the former consumer healthcare unit of GSK that was spun off over the summer — will kick off operations under its own brand in Egypt next year. Haleon Egypt will locally produce 90% of its products.

Drugmaker Pfizer is in talks with the government to manufacture its Prevnar vaccine in Egypt, which is designed to treat pneumonia.

Eva Pharma and Lilly will partner to produce insulin for diabetes patients in the local market.

CBE data revealed that the value of its assets increased to EGP3.7 trillion at the end of November 2022 (+5.7% MoM). Moreover, balances with the IMF recorded EGP7.105 billion (-39% YoY). 

The banking sector customer deposits increased, to record EGP7.82 trillion at the end of September (+1.3% MoM), while lending balances reached EGP3.695 trillion at the end of September (+2.8% QoQ)