What we’re tracking on 14 April 2019
It’s time to get busy, ladies and gentlemen. We have less than two weeks until Thursday, 25 April. That’s when we head out on break for Sinai Liberation Day. Depending on how you bridge the three holidays the following week (Easter, Sham El Nessim and Labour Day), that also means we have only the equivalent of two work weeks before the start of Ramadan.
With referendum banners already up across the country, it’s all about the constitutional amendments this week. Procedural and committee work on package is expected to wrap today, setting the stage for the House of Representatives’ general assembly to vote on Tuesday.
Look for a referendum as early as next week: House Speaker Ali Abdel Aal has said citizens could go to the polls as early as 22-24 April. We have more in this morning’s Speed Round, below.
It’s official: You’re paying the 0.25% healthcare levy on your top line, and you have until 12 July to remit payment. The Finance Ministry has issued a document (pdf) outlying some of the broad points of the health levy designed to fund the Universal Healthcare Act. The six-point document reaffirms that the tax is 0.25% of all revenues by all businesses, declaring that you must declare your due healthcare tithe by 12 July 2019. The document, on which we first reported on Thursday, also gives the broad strokes on how outliers will be taxed, including for insurance businesses, businesses that rely on commissions, and hotel management companies.
Also coming up this week week:
- A delegation of 21 Hungarian companies will arrive in Cairo to explore investment options on Tuesday.
- The two-day North Africa Iron and Steel Conference gets underway at the Four Seasons Nile Plaza, also on Tuesday.
- OPEC+ oil ministers will meetin Vienna on 17-18 April to discuss an extension to the oil supply cuts.
- Keep a close eye on US corporate earnings this week, with dozens of companies in a range of industries set to report.
The IMF is sounding a bit more positive: Global economic growth will “firm up” in 2020 despite the current slowdown, the IMF said in its closing communique yesterday at the end of the spring meeting. That said, the downside risks are many: trade tensions, political instability and high debt levels all pose varying levels of risks to global growth.
Have things really improved over the past few months, despite the IMF’s occasionally ominous warnings? “The world is in a different place from where it was at the end of last year,” Angel Ubide, head of economic research for fixed global income at Citadel, told the FT. “The US-China trade conflict is now less of a concern, and the global economy is getting a boost from the U-turn in monetary policy. Tightening is now off the agenda for a long while.”
Jumia shares popped 75% on the online marketplace’s first day as a publicly traded company. Jumia is the first African tech startup to IPO on the New York Stock Exchange. Morgan Stanley, Citigroup and Berenberg underwrote the transaction, and you can read Jumia’s prospectus here. We have more in this morning’s Spotlight, below.
Shocker: Fund managers are spending a lot less on research in the wake of Mifid II, the Financial Times reports, saying anecdotal evidence suggests buyside spending on research from brokerage houses is down as an average of 30%.
ExxonMobil is in talks to build a floating LNG facility that would expand Israel’s export reach, sources close to the matter told Bloomberg. Israel’s Delek Drilling has been eyeing increasing its natgas exports to Egypt beyond the USD 15 bn agreement signed last year with Alaa Arafa’s Dolphinus Holding, but the status of Israel’s pipelines has raised questions on whether it will be able to meet its contractual obligations.
Egypt to play opening AfCON match against Zimbabwe: Egypt has landed in the African Cup of Nations’ Group alongside Democratic Republic of Congo, Uganda, and Zimbabwe, in what Egypt’s assistant coach says is a “comfortable” pool, according to BBC. The championship draw on Friday placed the Pharaohs in what the national team’s assistant coach says is a “comfortable pool. The tournament opens on 21 June, which will see Egypt face off with Zimbabwe in the opening match.
Burned out at work? Here’s how to find your passion — or get it back, the Wall Street Journal suggests.
PSA #1- The final season of Game of Thrones begins tonight in the US and Canada, but we’ll catch the first episode tomorrow. You can watch on OSN or try OSN’s standalone streaming service Wavo. Wavo doesn’t have much other than GoT on offer, but at the asking price, that’s more than enough. It advertises that it will have episode one of season eight tomorrow. Can’t wait for your GoT fix? Go read Bloomberg’s ranking of the wealthiest families in Game of Thrones.
PSA #2- The mercury this afternoon is expected to cool to a more seasonal 28°C after an unusually hot Saturday in Cairo, according to the four-day forecast from the meteorological authority. Look for a cooler Monday and Tuesday, with daytime highs of 21°C and 25°C in the capital city.