PM — Ever Given: The Turkish Edition averted

Good afternoon, beautiful people: The news flow at home is continuing at a crawl though there’s plenty happening abroad, with the 2023 World Economic Forum opening this evening and Turkey averting its own version of the Ever Given crisis.

THE BIG STORY TODAY-

Is HCCD planning to sell some of its land to Gulf investors? Bloomberg Asharq reported yesterday the state-owned parent of Heliopolis Housing — the Holding Company for Construction and Development — is in talks with Gulf investors who are apparently interested in purchasing some of its land bank. A source at the company we spoke to this morning refuted the report, telling us that the company is looking to partner with investors rather than sell off assets.

THE BIG STORY ABROAD- No single story is driving the conversation in the global press this afternoon, but here are some worth nothing:

• German Defence Minister Christine Lambrecht has resigned following public scrutiny over how she handled the country’s defense policy. (Financial Times | CNBC)
• Musk has received the Qatari stamp of approval after the head of the country’s sovereign fund voiced his support for his vision for Twitter. (Bloomberg)
• Italian authorities arrested its most-wanted mafia boss Matteo Messina after a 30-year chase. (Bloomberg | AP | Reuters)

HAPPENING NOW-

Egypt: Only we can disrupt global trade flows by blocking major shipping routes.

Turkey: Hold my beer.

Turkey closed the Bosphorus Strait to ships this morning after a tanker ran aground on its way to Istanbul from Ukraine. Tug boats have since managed to refloat the vessel but authorities are yet to reopen the vital waterway, which connects the Black Sea to the Mediterranean. Reuters and Bloomberg have more.

Davos opens this evening: Global finance, business, politics, and media players are in the Swiss town this week for this year’s World Economic Forum where they’ll chew over the biggest challenges facing the planet. The five-day event gets underway in an hour or two before the first full day of panel discussions tomorrow. With “Cooperation in a Fragmented World” the chosen theme for this year’s World Economic Forum, expect discussions to be dominated by the war in Ukraine, deglobalization, and food and energy security. We have a full preview of the meetings in this afternoon’s Commute, below.

TOMORROW-

Cairo is hosting an Egyptian-Jordanian-Palestinian summit: Palestinian President Mahmoud Abbas and Jordan’s King Abdullah II are in Cairo today for talks with President Abdel Fattah El Sisi to discuss recent developments in Israel and the occupied territories. The meeting comes days following a series of provocations by Israel’s new far-right government, which contains ministers that have advocated deporting Arabs and annexing the country’s illegal settlements in the West Bank.

Correction: 17 January, 2023

We incorrectly wrote that the talks took place in Cairo on Monday, 16 January. The meeting will actually take place on Tuesday, 17 January.

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

• Eni, Chevron confirm “significant” EastMed gas find: Chevron and Eni announced making a “significant” gas discovery at their Nargis offshore block off the coast of North Sinai.
• New VAT exec regs drop: The Finance Ministry has issued the amended executive regulations for the VAT Act, which contain new targeted tax breaks designed to support manufacturing and boost exports.
• Surprise change at MAF: Emirati retail conglomerate Majid Al Futtaim has appointed Ahmed Galal Ismail its CEO, replacing Alain Bejjani who had headed up the group since 2015.

???? CIRCLE YOUR CALENDAR-

It’s that time of year again: The Cairo International Book Fair will open its doors to the public at the International Exhibition Center in New Cairo on 26 January, according to Youm7. The event, which runs until 6 February, is expected to draw mns of visitors during the two weeks.

☀️ TOMORROW’S WEATHER- Temperatures in Cairo will hit 19°C tomorrow during the day before falling to 11°C at night, our favorite weather app tells us.

Get ready for the return of the World Economic Forum at Davos for the first January in three years. Guests are heading to the small Swiss town in their private jets for the annual jaw-fest that will feature conversations themed around ‘Cooperation in a Fragmented World’.

The lineup: Speakers include the EU’s Ursula von de Leyen, the IMF’s Kristalina Georgieva and Egyptian International Cooperation Minister Rania Al Mashat in conversation with John Kerry and Mark Carney. Perspectives will reflect the shifting of a world “that has become introspective and less joined-up”, says Reuters, while the conversations will focus on the ‘polycrisis’, disparate shocks that interact so that the whole is even more overwhelming than the sum of the parts, reports the Financial Times, echoing the WEF 2023 Global Risks Report.

“Annual confab of capitalist elites” — with a difference: This year, says Bloomberg, the changing attendees list is reflective of reshaping caused by the recent global upheaval. While the hosts of Wall Street leaders and tech giants are back to pre-covid levels, what’s more interesting is who won’t be there. Sanction-barred Russian bn’aires will be replaced by those from the Gulf, India and the Philippines. Recognisable political faces will be scarce: German Chancellor Olaf Scholtz will be the only G7 leader in attendance and neither US President Joe Biden nor UK Prime Minister Rishi Sunak will make appearances, in a “sign of how politically toxic Davos can be for politicians trying to appear down with the people”, suggests Politico.

Representing Egypt: International Cooperation Minister Rania Al Mashat will take part in four panels over the week while Planning Minister Hala El Said will feature in a discussion about reforms in the MENA region on Thursday.

The cost of deglobalization: The IMF has warned that deglobalization could wipe out up to 7% off the world’s GDP in a new report. With geopolitical friction increasing, the global economy will suffer from higher import prices, fragmented markets, and more restricted access to tech and labor, all things that will lower productivity across the world, the Fund says.

EMs and low-income countries are set to bear the brunt. If trade barriers are compounded with reduced technological sharing, GDP could take an 8-12% hit in some countries. Emerging markets and low-income countries will be disproportionately affected. “Since they are further from the technological frontier, [EMs] lose disproportionately when access to embodied technology and R&D is lost,” the IMF wrote.

But there’s good news: If countries get their acts together and reverse the current trend, the hit to the global economy may be as slight as 0.2%.

Want your houseplants to live longer? Some people try talking to them. A survey of 1,250 plant owners cited by the Washington Post found that half talked to their plants. Why? Two-thirds thought that conversation helped them grow. Though the science on whether talking to them helps plants grow is dubious, there is evidence to suggest that they respond to their surrounding vibrations and grow differently depending on the type of noise they are exposed to. Marigold and chickpea plants were observed in varied environmental settings, and results showed that those exposed to “light Indian music” developed better — growing taller with healthier leaves — than those bombarded with traffic noises, according to one study cited by the Post. Other research revealed that the sounds of other organisms, including birds, insects, and water can also affect the life cycle of plants.

Think talking to plants is a sign of mental health problems? Think again. For some psychologists though, there may be some mental benefits of trying to strike up a conversation with your Hydrangea. “As we are talking to our plants, we are talking to ourselves — and formalizing our thought process,” the newspaper quotes social worker and director of the Stress Trauma and Resilience Program at Ohio State University, Kenneth R. Yeager, as saying. Moreover, some scientists argue that indoor plants have a calming effect on humans, “helping them feel rejuvenated.”

???? ON THE TUBE TONIGHT-
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Break Point: A behind-the-scenes look at the highly competitive 2022 tennis season. From the creators of popular docuseries Formula 1: Drive to Survive, this new series follows a new generation of potential stars — including Nick Kyrgios, Iga Swiatek, Sloane Stephens, Frances Tiafoe, Casper Ruud, and Stefanos Tsitsipas — as they compete in the Australian Open, French Open, US Open and Wimbledon. The documentary mixes footage of the matches with interviews and a breakdown of the rules for viewers who are new to the game. The release of the series comes just ahead of the 2023 Grand Slam season and is a good way to get introduced to the names that will surely be making headlines, especially given that Roger Federer has retired and Serena Williams is sitting out this season.

⚽ Just a few matches in store for you tonight. Here in Omm El Donia, Zamalek will face Pyramids in the semi-finals of the Egypt Cup today at 6pm.

La Liga: Cadiz faces Elche at 10pm.

Serie A: Empoli plays Sampdoria at 9:45pm.

Arabian Gulf Cup semi-finals: Iraq and Qatar kicked off shortly before dispatch time this afternoon at 3:15pm. Later this evening Bahrain will play Oman at 7:15pm. The winners will play each other in the final this Thursday.

???? OUT AND ABOUT-
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The Odyssey art gallery exhibits the work of 50 Egyptian artists who created works of art based on their interpretation of the classic film, Khally Balak Men Zozo. The exhibition runs until the end of the month.

Samah Art Gallery is hosting “SALT OF LIFE”, a solo exhibition by artist Hala El Sharouny until 26 January.

The perfect remedy for the Monday blues: Comedy Therapy take the stage at the Tap West tonight at 9pm, with a lineup of local comedians featuring: Paula Rizk, Tawfeek Elhadedy, Ahmed Hassan and Mohamed Habib.

???? UNDER THE LAMPLIGHT-

A deep dive into matter, and why it matters: Experimental physicist Suzie Sheehy designs equipment that can manipulate matter on a miniscule scale. The biggest question on her mind: “What is matter, and how does it interact to create everything around us — including ourselves?” In The Matter of Everything she spotlights 12 experiments and the dedicated scientists associated with them to demonstrate that the way we live has largely been shaped by particle physics. Among the experiments highlighted is Wilhelm Roentgen’s accidental discovery of X-rays in 1895 while he was testing whether cathode rays could pass through glass. Not knowing how to describe the phenomenon he encountered, Roentgen referred to it as an X-ray in his notes, and the name stuck. She also highlights female scientists’ contributions to the field that are often overlooked, such as Harriet Brooks’ — the first Canadian woman nuclear physicist — research on radioactivity.

The EGX30 rose 1.8% at today’s close on turnover of EGP 2.78 bn (65.4% above the 90-day average). Local investors were net buyers. The index is up 8.5% YTD.

In the green: Fawry (+8.8%), Eastern Company (+6.7%) and Sidi Kerir Petrochemicals (+6.5%).

In the red: Alexandria Containers and Cargo (-3.9%), Heliopolis Housing (-1.5%) and Orascom Construction (-1.4%).

2023: The year of all things VR, AI + EVs: With a new year inevitably comes the promise of tech advancements to make our lives easier and more entertaining. 2023 is no different: This year will see advances in artificial intelligence, virtual reality, and electric vehicles, the New York Times predicts.

Last year was rough for tech: Drama at Twitter stole headlines after Tesla boss Elon Musk’s takeover and the many questionable changes he made to the once beloved platform, while Facebook’s rebrand as Meta Platforms fell flat. And the trouble in tech was felt by more than just the Musks and the Zuckerbergs, as tighter monetary conditions and risk-off sentiment saw a new focus on profitability drive job cuts in an industry once seen as recession-proof.

This year, we could see AR and VR Appleified: iPhone maker Apple could step into the virtual and augmented worlds this year with the anticipated release of its AR/VR headset, sources familiar with the matter previously told Bloomberg. The headset was initially scheduled for a 2022 unveiling, but software and hardware complications reportedly forced the tech giant to push the release date. Leaks suggest that customers willing to drop the rumored USD 3k price tag could get their hands on the headset as soon as 3Q 2023, with the announcement coming sometime during the first half of the year.

Apple believes that so-called ‘mixed reality’ is the future: “You’ll wonder how you lived your life without augmented reality, just like today you wonder, ‘How did people like me grow up without the internet?’” CEO Tim Cook said last year (watch, runtime: 42:00).

Just don’t call it the metaverse: Apple execs have said they will never refer to the world they’re building with these products as ‘the metaverse,’ a term Mark Zuckerberg sought to claim as his own with the rebranding of Facebook to Meta. The metaverse markets itself as an all-in-one platform where we can work, live, connect and collaborate, but any initial buzz seems to have turned hostile as skeptics voice their misgivings. “Video games and social media already encourage the sort of mental overinvestment that makes the more explicit, embodied immersion of the metaverse seem gimmicky and redundant. The immersive internet is already here, in Web 2.0,” the Ringer wrote.

We are also expecting major AI strides: Last year was a significant year for AI as its commercial uses became more apparent. We saw AI selfies, AI art, and AI essays, and this year we can expect AI to make itself more present in our daily lives. We already have OpenAI’s ChatGPT, which can answer questions and write essays if given a prompt. The New York Times is predicting that this year we could see chatbots replace research assistants, purportedly helping researchers save their time and energy.

AI can also help already established online platforms up their game: Widely-used word processors Google Docs and Microsoft Word and spreadsheet programs Google Sheets and Microsoft Excel could soon embed AI tools to help users finish up their tasks at a quicker pace, the New York Times predicts. Word processors have already integrated some aspects of AI into their operations, with Google Docs allowing users to turn on smart compose, which uses machine learning to predict what the user might type next. Google’s Gmail also offers smart replies, which, using machine learning, recommends a reply to emails, suggesting responses like “Confirmed” or “Thanks.”

2023 could also be the year we see more electric vehicles on the market. Luxury EV brand Tesla had previously dominated the EV market, but this year the likes of Ford, Kia, and Audi are set to ramp up the competition. This comes as the green movement continues to pick up, with projections that EVs will make up over 45% of new vehicle sales globally in 2030.