Happy hump day, ladies and gentlemen. The news flow is picking up this afternoon, with a solid selection of stories to track as we slide into the second half of the week.

THE BIG STORY TODAY

Egypt has pulled the trigger on its maiden sukuk issuance: The country is in the process of offering some USD 1.5 bn in sharia-compliant bonds through the London Stock Exchange, sources with knowledge of the issuance told Enterprise this morning.

The three-year sukuk are being offered at an initial yield of 11.6% and have attracted more than USD 3 bn worth of orders excluding joint lead manager interest, Bloomberg reports citing a term sheet it has seen. A government source tells us that demand has been “very good,” noting that the yield could drop if the sukuk are oversubscribed. Investment banks on Monday wrapped up conversations with investors regarding the sukuk issuance.

REMEMBER- A successful issuance would help the government meet a major eurobond repayment due today. The government is due to repay USD 1.25 bn in five-year eurobonds that mature today, according to Reuters.

THE BIG STORY ABROAD

Putin suspends key nuclear arms treaty with US: Russian President Vladimir Putin announced that Russia would suspend its participation in the last remaining major nuclear-arms-control treaty between the US and Russia. He also vowed to keep up the military campaign in Ukraine. His comments on the New START Treaty came in a broader address to Russia's federal legislature in Moscow, just days before the anniversary of the invasion's beginning on 24 February. He once again blamed the West for starting the "special military operation" in Ukraine.

The story is front-page news in the international press, including Reuters | Financial Times | Bloomberg | Wall Street Journal | BBC

** CATCH UP QUICK on the top stories from today’s EnterpriseAM:

• Italy’s Intesa Sanpaolo is in advanced talks with the gov’t to acquire the rest of Alexbank. The Italian lender has been the majority shareholder of Alexbank since 2006 when it purchased 80% of its shares from the government.
• More funds for Egyptian SMEs: Private equity vehicle Avanz Manara plans to invest in three funds targeting SMEs during 1H 2023.
• EBRD predicts slower GDP growth in Egypt in 2023: The European Bank for Reconstruction and Development now sees our GDP growing at a 4.6% clip in 2023, down from its 5.6% estimate in September.

☀️ TOMORROW’S WEATHER- Expect a daytime high of 21°C tomorrow and a nighttime low of 11°C, according to our favorite weather app.