Was the EGX hacked? Cabinet extends Gulf deployment mandate. Almarai files trademark infringement suit. Jordan, France pull Rabaa TV. Steel plants slammed by energy shortage. ISPs resisting price cut. ADIB arranges EEHC facility. Ahly’s Garrido out?
WHAT WE’RE TRACKING THIS WEEK
The HSBC / Markit Economics Purchasing Managers’ Indexes for Egypt, Saudi Arabia and the UAE are due out at 6:30am UK time on Tuesday, 5 May 2015.
Also on tomorrow: The two-day Euromoney Saudi Arabia Conference gets underway on Tuesday, 5 May at Al Faisaliah Hotel, Riyadh. Event details here.
Minister of Industry and Trade Mounir Fakhry Abdel Nour will visit Milan to promote trade and investment on Thursday, 7 May, the same day the UK heads to the polls in what many analysts see as the most closely-fought general election in a generation.
LAST NIGHT’S TALK SHOWS
Lamees El Hadidy conducted a telephone interview with the lawyer representing Mubarak era businessman, Hussein Salem, who is currently trying to strike a deal with the Egyptian government. Salemwho has been residing in Spain with his family since the January 25th revolution, claims that he is willing to give up half his fortune which he estimates to be around EGP 8 bn (the public perception of his fortune is much higher) in return for all charges being dropped against him. He is currently accused of acquiring land illegally and is under investigation from the illicit gains committee. According to Salem’s lawyer a portion of the funds that he is willing to hand over to the government will go to Tahya Misr and part will go to the Red Sea governorate.
“Lets see if this deal works. It’s not the first time that Salem and his lawyers have tried to reach out to the government. They previously tried to strike a deal with the Brotherhood government and the interim government after the 30th of June but nothing has ever materialized,” said El Hadidy.
El Hadidy also reported that Mohamed Hassanein Heikal, whom she considers to be a personal mentor, has been released from intensive care and is in good health and good spirits after undergoing orthopedic surgery last week.
In one of his more bizarre opening segments Amr Adeeb was beside himself with joy over YangYang, a life-like Chinese humanoid robot that he referred to as “the new Chinese doll.” “It’s amazing, it appears to have flesh and even facial expressions,” said Adeeb. The doll which was on display at the Global Internet Conference in Beijing has been reported to resemble former Alaska governor, Sarah Palin but Adeeb’s co-host, Kahled AbuBakr thinks the doll actually looks more like Egyptian Minister of Social Solidarity, Ghada Wali. “The Chinese are making new breakthroughs in robotics while we are still trying to figure out how to collect garbage from Garden City and issuing fatwas on whether or not it is haram for a football player to expose his thighs.”
The future of Al Ahly Football Club’s Spanish coach, Juan Carlos Garrido, was featured on all the talk shows. After an exceptionally poor performance in a match against Moghreb Tetouan of Morocco, Garrido’s contract will most likely be terminated. According to Adeeb, the cost of terminating the contract will be USD 120,000 in compensation. “Maybe they will be nice enough to wait until his children finish the school year,” said Adeeb, a hardcore Zamalek Club supporter.
** SHARE ENTERPRISE WITH A FRIEND **
Enterprise is available without charge — just visit our subscription page. We give you just about everything you need to know about Egypt, in your inbox Sunday through Thursday before 7am CLT, and all we ask for is your name, email address and where you hang your hat during business hours.
SPEED ROUND
Cabinet approves extending overseas mission of Egyptian troops in the Gulf: The Council of Ministers approved late yesterday the Ministry of Defense’s request to extend the mission of Egyptian troopsstationed in GCC countries, the Red Sea and the Straits of Bab El Mandab for another three months or until the mission’s objectives have been met. The mission, which came as part of Operation Decisive Storm and launched on 23 March, was initially intended for 40 days. The motion coincides with Saudi Arabia’s continued bombardment of Houthi positions and Yemeni cities. The request came after a high-level National Security Council meeting which included the president and the ministers of defense and foreign affairs, which also looked into strategies for combating the insurgency in Sinai. No troops have yet been deployed under the extended mandate, a security source told Reuters.
What’s happening in Yemen right now?
- Local fighters battling the Houthi rebels in Yemen’s port of Aden stormed areas around the airport on Sunday, apparently under the command and control of the Saudi-led coalition. (Read)
- The UAE’s The National reported on eyewitness accounts in Yemen that “several men [were spotted] in the vicinity of the airport dressed in military-style clothing, wearing helmets and carrying sophisticated weapons. Yemeni government and militia forces said the several dozen troops had landed in the main southern city, with some sources saying they were to assist in fighting for its international airport.” The article goes on to note that the coalition spokesman denied that troops had landed, but acknowledged such an operation remains a possibility.
- “Credible evidence indicates that the Saudi-led coalition used banned cluster munitions supplied by the United States in air strikes against Houthi forces,” HRW said in a statement that has since been picked up by Reuters.
EGX denies trading system breached; faulty security at unnamed brokerage cited, steps taken to tighten security: The EGX issued a statement on Sunday refuting claims that its trading system had been hacked. The EGX said that the usernames and passwords of an unnamed brokerage had been used to gain unauthorized access to the daily operations’ output of other brokerages. The EGX in turn has notified all companies with a change of password and alerted the Egyptian Financial Supervisory Authority, which has formed a technical and legal committee to investigate. In addition, the EGX will tie the password for each brokerage with its own IP address as well as use one-time password (OTP) generated every 60 seconds for daily operations’ downloads. The OTP was already in use in other EGX systems. (Read)
Also at last night’s extraordinary Cabinet meeting, which appears to have pre-empted the standard Wednesday gathering of ministers, six additional decisions were made, as reported by Al Mal. These include:
- Approving Damietta Port Authority’s decision to compel Egyptian-Spanish LNG joint venture SEGAS to pay its annual USD 3 mn to the authority as part of its operating contract, in addition to postponing its minimum bid fee of USD 1.2 mn for two years.
- Approving the easing of import tariffs in the free zone area of Port Said, due to the stagnation of trade in the city.
- Ratifying and approving a joint Egyptian-Emirati grant of EGP 50 mn to reconstruct the Islamic Arts Museum.
- Approving the Protocol of Cooperation between the Ministry of Manpower and Immigration and the International Labor Organization on a major project to seek out and develop employment opportunities for those aged between 15-29 and who are primarily of underprivileged background.
- Approving a Protocol of Cooperation between the Ministry of Manpower and Immigration and the International Labor Organization on an initiative geared towards improving labor conditions and boosting the competitiveness of local industry and manufacturing.
- Confirming a previous Cabinet decision which extends relief to real estate contractors affected by a three-month curfew that began in August 2013, giving them a three-month window in which to fulfill their contractual obligation to government bodies.
Ramadan prices in spotlight: President Abdel Fattah El Sisi and the Council of Ministers were executing from the same playbook yesterday as they made the point that price gouging won’t be tolerated heading into Ramadan, particularly on staple commodities. If you’re clicking through to read either of the stories, choose the Sisi story, which covers his meeting with Supply Minister Khaled Hanafi yesterday to review progress on the commodities portfolio. The Council of Ministers story is the second-half of Al-Mal’s wrap-up on last night’s Cabinet meeting.
Steel factories have seen their operations halted a total of 62 days during the past three months due to shortages in natural gas supplies, Gamal Al Garhy, Chairman of Suez Steel said, according toAmwal Al Ghad. Al Garhy, also the Chairman of the Chamber of Metallurgical industries, submitted an official complaint to the office of the Prime Minister because of the energy shortage and called for more protectionist measures. Despite the shortage and foreign currency issues, Suez Steel will continue investing in Egypt, Al Shorouk reported. PM Ibrahim Mahlab met with representatives from the Federation of Egyptian Industries to address their grievances and vowed to continue his unwavering support for Egyptian industries. Producers are calling on the government to reduce the price of natural gas back to USD 4 per mmBtu from the current level of USD 7 per mmBtu to increase their competitiveness.
Cairo Monorail makes international headlines: The Bombardier-led consortium building a USD 1.5 bn monorail will include Orascom Construction and Arab Contractors, Reuters reports, vaulting the story we picked up yesterday into international news. The 52-km monorail line will be completed by mid-2018 and will connect Sixth of October and Sheikh Zayed to the Cairo Metro system. All technical and financial proposals for the project have been approved, Reuters says, citing Housing Minister Moustafa Madbouly. In other transport news yesterday: Transport Minister Hani Dahi has relieved the head of the Cairo Metro Authority of his duties following the crash in Abbassiya last week, Al Borsa reported.
Railways Authority upgrades 40% of sub-par rail intersections: According to Ahmed Hamed, head of the Railways Authority, the government has managed to upgrade 532 of the 1332 (or 40%) railway-road intersections which have been deemed sub-par and thus illegal, in a move aimed at curbing the high accident rates suffered as a result of these substandard intersections. He added that the authority had contracted five foreign companies to engage in the upgrades. Notably, the authority had engendered EGP 300 mn in losses in 2014 as a result of degrading rail infrastructure and sabotage. (Read in Arabic)
Thales inks NAT deal for Cairo Metro; confirms 2017 completion of Cairo-Alex rail upgrade:The National Authority for Tunnels signed an EGP 160 mn agreement with France’s Thales for the supply and installation of 750 electronic turnstiles for Cairo Metro. The company has also proposed to overhaul lines 1 and 2 of the Cairo Metro system. In related news, the French company expects to complete its work on the Cairo-Alexandria rail line in 2017; Thales was tasked with increasing the line’s operating speed from 140 km/hr to 160 km/hr. (Read in Arabic)
Mercedes-Benz denies it’s withdrawing from Egyptian market, confirms assembly operations will cease: Prompted by confusion in the market, the luxury car company has issued a statement confirming that while it will no longer be assembling vehicles in Egypt, it has no intention to stop selling its vehicles here. (Read)
GB Auto received the award of “Best Distributor in Africa 2015” from Hyundai Motors at an event organized by the Korean automaker in Dubai on 20 April 2015, reported Al Ahram in its Friday print edition.
How-to guide on smart card usage: As we fast approach the date for implementing the fuel smart cards system on 15 July, Al Ahram has published an FAQ on the usage of smart cards. Ahram notes that given that the online platform to register for smart cards (esp.gov.eg/) is currently closed, citizens not yet registered may apply through traffic departments across districts in Egypt. The issuance of smart cards has been in place in most governorates, with a notable exception being Greater Cairo. The FAQ also states there will be no limits to the number of times smart cards can be used.
Looking for more on Al-Wafd’s latest meltdown? Following up on our report of yesterday: Ahram Online has a pleasantly colorful backgrounder and account of the meeting in Sharqiya at which party dissidents made a move against embattled Al-Wafd chief El-Sayed El-Badawi.
Sainsbury’s legal case in Egypt to drag on after hearing adjourned: A court hearing on embezzlement charges filed against Sainsbury CEO Mike Coupe was adjourned on Sunday to 3 May. (Read)
Ikhwani TV outlet pulled off air by Jordanian and French satellite owners: Jordan’s Noorsat has taken Ikhwani satellite television station Rabaa TV off the air for inciting violence, according to Islamist Turkish news outlet World Bulletin. D.C. based Radio Sawa journalist Zaid Benjamin tweeted on Friday that France’s Eutelsat has also stopped broadcast of the channel for incitement.
ISPs resisting gov’t pressure to cut rates? Together with fixed-line giant TE Data, the nation’s three mobile network operators have reportedly failed to submit alternative pricing plans in response to pressure from the Communications and IT Ministry to reduce the cost of their entry-level internet packages, according to a report. The news comes about one week after an earlier claim attributed to National Telecommunications Regulatory Authority Chairman Hisham Elayly that the ISPs had indeed presented new price proposals. CIT Minister Khaled Negm claimed at the time that there had been no resistance from the ISPs over the government push for a rate cut.
EGP steady on official market, strengthens on parallel: While noting that the drying-up of liquidity has “stifled business activity” (a common refrain across the business community), Reuters notes that the EGP inched up slightly on the black market, 1 piastre to EGP 7.69. The extended Bloomberg story on FX in Egypt, which we noted yesterday, continues to make the rounds of the international press this morning.
EFG Hermes maintained its lead atop the brokerage league table in April with a 21.8% market share of execution across its two arms, followed by CI Capital at 10.2%, according to summaries in Al-Borsa and Al-Mal.
Three migrants dead after boat sinks off Egypt’s coast, survivors arrested: Three migrants died when the boat carrying them headed for Greece sunk on Saturday off of Egypt’s coast, according to security and state news sources cited by Reuters. 31 other migrants were rescued by Egyptian authorities and subsequently arrested, including 13 Syrians, 15 Sudanese, two Eritreans and one Egyptian, the state-run Al Ahram newspaper said on its website, as reported by Reuters. (Read)
The WSJ reports this morning that ‘Gulf states want U.S. assurances and weapons in exchange for supporting Iran nuclear deal.” Says the paper: “The leaders of the six-nation Gulf Cooperation Council, including Saudi Arabia, the United Arab Emirates and Qatar, plan to use a high-stakes meeting with President Barack Obama next week to request additional fighter jets, missile batteries and surveillance equipment.”
***
A MESSAGE FROM PHAROS HOLDING
Pharos Research Comments on CBE Statements
Recent statements from the CBE governor in relation to Egypt’s FX market were met with slightly raised eyebrows at Pharos Holding Research this week. An MPC meeting on 23 April left interest rates unchanged, despite expectations of a 50 bps cut and a second administered round of EGP depreciation against the USD, which Pharos believes is vital to the success of a USD1.5 bn Eurobond issuance slated for mid-2015.
The CBE’s governor also reiterated the authority’s commitment to maintaining the FC cash deposit cap at USD 50,000, effectively sealing the exchange rate with a hard peg in the USD 7.6-7.63 per EGP range. Nonetheless, the EGP is still expected to weaken against the USD later this year, especially since any possible deals with the IMF would call for a more flexible exchange rate regime.
Click here for more commentary on the CBE’s latest resolutions.
***
WORTH WATCHING
Edita Bake Rolz commercial: Beethoven. Wait for the pay-off at the end. (Watch in Arabic with English subtitles, running time: 2 minutes)
WORTH READING
Last week Simon Henderson wrote a far too-short but still engaging first impression of the most recent ‘Riyadh Reshuffle.’ “MbN, the new crown prince, is widely seen as Washington’s favorite future king, but the remorseless elevation of MbS in recent months suggests that this young man could replace MbN before he reaches the throne.” (Read)
PHOTO OF THE DAY, POSSIBLY YEAR
British cyclist Mark Cavendish pulled back onstage after trying to slip away during Erdogan’s meandering speech at the closing ceremony of the 51st Presidential Cycling Tour of Turkey, Istanbul. Photo credit: Anadolu Agency, Hurriyet Daily News. (View photo)
EGYPT IN THE NEWS
The lead story on Egypt in the foreign press this morning is reports of the Defense Council meeting last evening which re-authorized the deployment of Egypt’s armed forces abroad for another three months. Reuters notes that the statement issued does not specify whether this authorization will include ground troops. The news was picked up by Reuters, Russia’s Sputnik, and Singapore-based Channel NewsAsia, among others.
Egypt charges 40 individuals living in Nile Delta for allegedly belonging to Daesh -AP: A prosecutor on Sunday referred 40 individuals to trial for allegedly belonging to Daesh, marking the first time the group is noted for operating in the Nile Delta. (Read)
Amnesty says Egypt using courts and jail to intimidate journalists: Reuters notes an Amnesty International report issued on Sunday that accuses Egyptian authorities of using the judiciary to stifle journalism. Ahram Online wins headline of the week for: On press freedom day: Egyptian journalist arrested, Amnesty says govt silencing critics.
WHAT YOU CLICKED ON LAST WEEK
The most-clicked links in Enterprise during the week of 27 April 2015 were:
- Egypt’s Renewable FiT Program Gains Traction (Bracewell & Giuliani LLP in Renewable Energy World)
- Former president Hosni Mubarak’s call-in to Ahmed Moussa’s program on Sada El Balad. (Watch in Arabic, running time: 13:57)
- Worldfolio interview with PHD Co-CEO Tarek Abdel Rahman. (Read)
- CIB and TE top list of Egypt’s corporates in terms of taxes paid (Al Mal)
- Palace intrigues: King Salman’s royal reshuffle (The Economist; originally titled: Palace coup)
ENERGY, RENEWABLE ENERGY & SUBSIDY REFORM
Taqa Arabia negotiating to commission floating power station
Al Borsa | 02 May 2015
Taqa Arabia is in negotiations to commission a floating 200MW power station, Khaled Abu Bakr, the company’s executive Chairman, said. The station is set to be docked at an Egyptian port and will provide electricity to the company’s employees. Abu Bakr said Taqa awaits the authorities’ approval to finalise the deal. The station will be provided by an unnamed Asia-based company, Al Borsa reported, and should come online four months following the reaching of an agreement. Fuel inputs for the station will be purchased from the open market, according to Abu Bakr. (Read in Arabic)
NREA begins drafting final contract for Masdar, ACWA MoUs
Al Borsa | 02 May 2015
The New & Renewable Energy Authority (NREA) began drafting the final contracts for MoUs signed at the EEDC with Masdar and ACWA Power. The two companies have signed USD 2.4 bn worth of investment pledges. Al Borsa reports that the agreements will neither be part of the feed-in-tariff system nor will they be part of the legal framework or direct tenders, they will be initiated through direct decree. The two renewable energy products will be operated on a BOO basis, NREA said. (Read in Arabic)
40,000 tons of diesel pumped into market daily in preparation for harvest season
Amwal Al Ghad | 02 May 2015
EGPC is preparing to flood the market with 40,000 tons of diesel daily in preparation for increased demand during the upcoming harvest season, up from 35,000 tons daily. The extra volume will be made available through the end of May. EGPC has been accumulating reserves to build the capacity to respond to surges in demand domestically. (Read in Arabic)
EGPC to register 1.2 mn fuel smart cards by end-2015
Amwal Al Ghad | 02 May 2015
EGPC is set to finish registering 1.2 mn fuel subsidy smart cards by the end of 2015, Tarek El Molla said. In total, 3.8 mn cards have been registered from a total target of 5 mn. El Molla reiterated the government’s intention to create a consumption database in order to be able to identify leakages from the supply chain and assess demand. (Read in Arabic)
Government approves the use of butane in powering factories as a result of new tech
Al Borsa | 03 May 2015
The government has approved the import and use of butane as fuel for manufacturing and heavy industry after the development of a new process which transforms butane to a compound with similar properties as natural gas. According to Khaled Abu Bakr, chairman of Taqa Arabia, the process, which is already in use in Kuwait and Qatar, will diffuse the butane with oxygen, allowing it to be transportable along natural gas pipelines and infrastructure. (Read in Arabic)
OIL & GAS
Delivering Cypriot gas to Egypt not feasible, Turkish foreign minister says
Anadolu Agency | 02 May 2015
Delivering natural gas from Cyprus to Egypt is not feasible, opined, Taner Yildiz, the Turkish foreign minister, who insisted on referring to the country as “Southern Cyprus.” “When declining oil prices and high cost of LNG are taken into consideration, I do not find this decision feasible for them. This decision represents only a political obstinacy,” Yildiz said referring to liquefying Cypriot gas in Egypt. He added that Turkey signed a deal with Turkmenistan to deliver natural gas to Europe either via the TANAP or through another pipeline. (Read)
BASIC MATERIALS & COMMODITIES
Heat wave drives up tomato prices 300%
Al Borsa | 02 May 2015
The prices of tomato domestically have increased by 300% according to traders at the Obour market, Al Borsa reported. Last week’s heat wave damaged part of the tomato crop, reducing the supply. The supply is expected to return to normal levels in the second half of June following the new harvest. (Read in Arabic)
MANUFACTURING
Philips and El Araby Group announce JV to build clothing iron production line
Al Shorouk | 03 May 2015
Dutch multinational Philips and Egypt’s El Araby Group announced their partnership on the establishment of a steam iron production facility in Banha. The facility will produce Easy Speed Stream GC1022, a 2000 watt steam iron, reports Shorouk News. According to the president of El Araby Group, Ibrahim El Araby, the steam iron factory will be the Egyptian company’s first manufacturing partnership with Philips. The Egyptian company believes that project should pave the way for additional manufacturing partnerships with the Dutch multinational. El Araby Group has been responsible for marketing Philips products in Egypt since 2013. (Read in Arabic)
HEALTHCARE
EGP 250 mn pharmaceutical factory inaugurated
Daily News Egypt, Ahram Online | 03 May 2015
Indian company Pharmed Healthcare inaugurated a factory for producing a licensed Sovaldi biosimilar and Hepatitis C cure branded “Sofosbuvir,” Daily News Egypt reported. “The Pharmaceutical industry is one of the most important national industries in Egypt that we are seeking to promote. We are keen to provide medicines to citizens at affordable prices, with a plan to eliminate Hepatitis C in Egypt,” said Minister of Health Adel Al-Adawy, who attended the opening ceremony. 15 mn Egyptians have Hepatitis C, the health minister noted.
REAL ESTATE & HOUSING
United Co. for Housing & Development’s General Meeting approves EGP 27.2 mn capital increase
Al Mal | 03 May 2015
United Co. for Housing & Development’s Extraordinary General Meeting has approved raising the company’s authorized capital by EGP 275 mn to EGP 675 mn, and raising its issued capital to EGP 135.9 mn, or a EGP 27.2 mn increase. This comes as UCHD’s full year 2014 financials saw revenues grow by 36.8% to EGP 34.7 mn. (Read in Arabic)
TOURISM
Marriott International reaffirms commitment to Egypt with new campaign
Zawya | 02 May 2015
Marriott International has reaffirmed its commitment to reviving Egypt’s tourism sector with the launch of the #Activ8Egypt campaign. The campaign focuses on “driving significant incremental revenues through three strategic pillars -local, GCC and international inbound tourism,” according to the press release on Zawya. “Despite the challenges in recent years, Marriott International never wavered for a moment in its support for Egypt and in fact, during this challenging time, we maintained our employee levels and vowed to stay the course, launching the #Activ8Egypt initiative late last year,” Marriott’s MEA President, Alex Kyriakidis, said. (Read)
Increasing Egypt’s market share of international tourism tied to increasing daily spending by tourists to USD 100
Al Shorouk | 03 May 2015
According to the minister of tourism, Khaled Ramy, targeting increasing the daily expenditure by tourists to USD 100 per capita (or USD 260 mn per night at current rates) will invariably increase Egypt’s market share of global tourism to 1.4%. Ramy went to speculate that the number of visitors to Egypt has increased in 1Q15 by 3-10% year on year, in no small measure to increasing investment in tourism infrastructure such as three main entry points, building up capacity, boosting promotional and marketing efforts and diversifying product offerings, a strategy which he feels must continue. (Read in Arabic)
BANKING & FINANCE
NBE in negotiations to borrow USD 75 mn
Al Borsa | 03 May 2015
NBE has entered negotiations to borrow USD 75 mn by the end of the year. The loan will be used to finance SME projects. NBE has already managed to secure USD 100 mn from the China Development Bank. (Read in Arabic)
OTHER BUSINESS NEWS OF NOTE
ADIB arranges EGP 1.6 bn financing for Egyptian Electricity Holding Company
Al Mal | 03 May 2015
According to Al Mal, Abu Dhabi Islamic Bank arranged and closed an EGP 1.6 bn financing agreement for the Egyptian Electricity Holding Company (EEHC) last week. The agreement will cover the costs for the construction of several power plants, part of the holding company’s emergency plan for the summer season. 7 Egyptian banks – Banque Misr, SAIB, Industrial Development and Workers Bank of Egypt, PBDAC, United Bank of Egypt, Misr Iran Development Bank, and ABC Bank – will participate in the financing of the project. The agreement stipulates a repayment period of 4 years, including a 1 year grace period. (Read in Arabic)
Almarai files trademark infringement case
Al Borsa | 03 May 2015
The Cairo Economic Court has suspended proceedings on a trademark infringement lawsuit filed by Saudi agrifoods and dairy giant Almarai against a similarly named food industries factory operating out of Sixth of October City. The suspension will be in place until such time as a ruling is issued on Saudi Al Marai’s appeal against the Administrative Court’s ruling to issue the license to the Egyptian manufacturer. Al Marai’s lawsuit calls for a cease and desist of the use of its trademark, revoking the name from the commercial registry, and the payment of USD 1 mn in damages. The case highlights the prolific violation trademark infringement laws among businesses in Egypt. (Read in Arabic)
ABB provides details on its scientific research activities in Egypt
Al Mal | 03 May 2015
ABB, a power and engineering automation company, spent a total of EGP 13 mn on scientific research in Egypt and several of its regional neighbors in 2014, according to Nagi Gregory, the Swiss company’s regional director. Much of this research was undertaken in partnership with leading Egyptian universities, including Cairo University and Ain Shams University, added Gregory. ABB is in the process of modernizing research facilities of several Egyptian universities, concluded Gregory. (Read in Arabic)
Minister of Environment outlines requirements for construction of solid waste recycling plants
Al Mal | 02 May 2015
The Minister of Environment, Khaled Fahmy, outlined several specifications and requirements for the construction and operation of solid waste recycling plants in Egypt. Most important amongst these requirement is that plants be built in accordance with the government’s zoning laws and that they do not have detrimental effects on Egypt’s water resources or agriculture. Additionally, interested companies must complete and Environmental Impact Assessment and receive ministerial approval before beginning construction of a plant. (Read in Arabic)
Ministry of the Environment evaluating and creating new regulations for transportation on the Nile
Al Borsa | 03 May 2015
A High level meeting was held between Khaled Fahmy, minister of the environment, Hussam Al Maghazy, minister of water resources, and representatives of the ministry of health, to evaluate and assess current legislation governing transportation on the Nile river and to propose new regulations. Among the conclusions of this meeting was need to create better systems for monitoring river transport infrastructure and vessels in addition to formulating new committees in charge of evaluating existing ports, routes, bridges and causeways. (Read in Arabic)
EGYPT POLITICS + ECONOMICS
Nine political parties start initiative for new parliamentary elections law
Ahram Online | 03 May 2015
Nine political parties including Al-Wafd, the Conservatives Party, the Egyptian Social Democratic Party and the Socialist Popular Alliance Party launched an initiative on Sunday to draft their own version of the elections law to present to the President in lieu of the current draft law issued by the Cabinet. “The suggestion of drafting a new law violates the constitution which stipulates that the government is the only one to represent draft laws, while the president and the members of the parliament present suggestions only,” professor of constitutional law and member of the official parliamentary elections amendments committee Salah Fawzy told Ahram Arabic News website, as reported by Ahram Online. (Read)
Fourteen policemen, doctor sentenced from 1-3 years for torture deaths
AFP | 03 May 2015
A court on Sunday sentenced 14 policemen and a doctor to prison for torturing two prisoners to death in 2006, a judicial official said to the AFP. The prison sentences included three years for a police colonel, one-year sentences for 13 policemen and the doctor. The AFP notes that it is unclear if the sentences had already been served. (Read)
Al Mal publishes details on USD 2 bn Saudi aid to Egypt
Al Mal | 03 May 2015
According to high level government sources, Al Mal has published a breakdown of the Saudi aid and investment package to Egypt, which totals around USD 2 bn. USD 500 mn will fund development projects, USD 750 mn will be allocated for the petroleum products purchasing program, while USD 650 bn will be used to fund private sector investments. Sources also state that the negotiations are ongoing, as Saudi Arabia awaits to see a detailed plan of commitment from the Egyptian government. (Read in Arabic)
ON YOUR WAY OUT
The last remaining parts of the phosphate-carrying barge that sank in the Nile have been removed, the Minister of Water Resources said.
Al Arafa Investment And Consulting released consolidated results for the year ended 31 January 2015, posting a net profit of USD 12.4 mn, up from USD 7.7 mn in the same period last year. (Read)
The IMF’s Olivier Blanchard presented his ten personal takeaways from the third conference on “Rethinking Macro Policy.” The bottom-line is that there is undeniable progress in macroeconomic policies but also a lot of confusion. You can check out his thorough list here.
Two people were shot dead on Sunday evening in Garland, Texas at a Prophet Mohamed cartoon contest organized by Pamela Gellar, with first prize set to be awarded USD 10,000. ”Though it remained unclear several hours after the shooting whether it was related to event, she said Sunday night that the shooting showed how “needed our event really was,” the AP reports. The identity of the gunmen has yet to be released.
BY THE NUMBERS
USD CBE auction (Sunday, 03 May): 7.5301 (unchanged since Monday, 02 Feb)
USD parallel market (Sunday, 03 May): 7.67 (unchanged from Saturday, 02 May)
EGX30 (Sunday): 8,562.97 (-1.26%)
Turnover: EGP 279.5 mn (50% below the 90-day average)
WTI: USD 59.08 (-0.12%)
Brent: USD 66.48 (+0.03%)
TASI: 9,764.2 (-0.7%)
ADX: 4,618.9 (-0.6%)
DFM: 4,132.5 (-2.3%)
KSE Weighted Index: 435.8 (+0.2%)
QE: 12,195.0 (+0.3%)
MSM: 6,318.3 (-0.1%)