PM — Political correctness for mummies

Good afternoon, wonderful people. We’re now in the throes of that dreaded two-month stretch without any holidays or long weekends to speak of. (Is that the world’s smallest violin we hear?)

**TAKE OUR 2022 ENTERPRISE READER SURVEY and get a chance to break bread with us: Give us your thoughts on how 2022 panned out for your business and industry, and what you’re expecting in the year ahead in our Enterprise Reader Survey.

We’re asking you to share your expectations on the EGP / USD rate in 2023, how you’re managing expenses amid the rising cost of living, where you see your industry as a whole heading, and whether you expect to make fresh investments — among a few other questions we ask our community on a regular basis. As is our custom, we’ll be sharing the results with all of you in a few weeks’ time to help you shape your view of the year.

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THE BIG STORY TODAY

CIB gets greenlight to close Mayfair acquisition: CIB has received approvals from the Central Bank of Egypt and the Central Bank of Kenya to close its acquisition of the remaining 49% of Kenyan bank Mayfair for USD 40 mn, according to a statement. CIB had previously acquired 51% back in 2020.

THE BIG STORY ABROAD

The international business press isn’t focusing on one singular story this afternoon. The two stories currently making the rounds:

• A military factory in Iran was reportedly targeted by bomb drones, its Defense Ministry said. (CNBC | Reuters)
• Memphis has disbanded a specialized police unit after five of its members fatally beat a Black man earlier this month. (Reuters | Wall Street Journal)

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

• The Central Bank of Egypt (CBE) is likely to hike interest rates when it meets on Thursday as inflation continues to run high, according to our interest rate poll.
• The economy could grow more than the gov’t thinks this fiscal year: The economy will grow at a 4.8% clip in FY 2022-2023, according to a Reuters poll of economists.
• S&P Global Ratings has affirmed Egypt’s B credit rating with a stable outlook, saying it expects fresh financial support from the IMF and the GCC will help us meet our external funding needs.

*** It’s Inside Industry day — your weekly briefing of all things industrial in Egypt. Inside Industry focuses each Sunday on what it takes to turn Egypt into a manufacturing and export powerhouse, ranging from initial investment and planning to product distribution, through to land allocation to industrial processes, supply chain management, labor, automation and technology, inputs and exports, regulation and policy.

In today’s issue: Following last year’s expansion of the golden license system, the General Authority for Freezones and Investment is now looking at introducing tiered diamond and silver licenses for manufacturers.

???? CIRCLE YOUR CALENDAR-

It’s interest rate week here at home… The Central Bank of Egypt (CBE) is likely to hike interest rates when it meets on Thursday, 2 February as inflation continues to run high, according to our latest interest rate poll. Get the full story in our Economy section, below.

…And in the US: Expectations are high that the Federal Reserve will continue to slow the pace of its interest rate hikes when it holds its two-day policy meeting on Tuesday and Wednesday. The market is pricing in a 93% chance that the central bank raises rates by 25 bps this week — down from 50 bps in its December meeting — after a gauge of consumer prices last week showed inflation continuing to slow last month.

Light at the end of the tunnel? Economists are now projecting the Fed to call time on its tightening cycle later this quarter after making two 25-bps hikes at its January/February and March meetings, according to a Reuters poll.

EBRD + EU + GCF are holding a green finance event on Tuesday: The European Bank for Reconstruction and Development, the EU, the Green Economic Financing Facility, and the Green Climate Fund will hold a green finance event on Tuesday, 31 January at the Nile Ritz Carlton Hotel.

There’s still no word on when we’ll hear from the government’s fuel pricing committee: We’re still waiting for an announcement on when the committee will meet to decide on fuel prices for the current quarter. The committee usually meets at the beginning of every quarter to decide on fuel prices for the coming three months. The government has increased prices at the pump by 23-28% since April 2021, and decided on a rare fuel oil price hike last July.

Expect more hikes: The government has committed to changing local fuel prices in line with movements in the global markets under the USD 3 bn loan agreement with the IMF.

Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.

☀️ TOMORROW’S WEATHER- Temperatures in Cairo will hit 22°C tomorrow during the day before falling to 11°C at night, our favorite weather app tells us.

BuzzFeed is the latest to join the ChatGPT bandwagon: The media company is set to begin collaborating with OpenAI, the company behind ChatGPT, to use AI to help create content for its audience, CNN reports. The digital content creator saw its “sagging” stock soar more than 85% to USD 3.87 today, compared to USD 0.95 on Thursday, when it made the announcement. “In 2023, you’ll see AI inspired content move from an R&D stage to part of our core business,” BuzzFeed CEO Jonah Peretti told employees.

Applications: The technology will be used to enhance quizzes, assist with brainstorming and to better tailor content to audiences, Peretti said in an email to company employees. However, BuzzFeed will not use AI to assist in writing news articles for the time being, according to CNN.

BuzzFeed is the largest media company to integrate OpenAI’s technology, but it’s not the first: Recently, CNET utilized an “internally designed AI engine” (not ChatGPT) to help with story creation. However, some of the articles were full of errors and later had to be corrected. The company’s Editor-In-Chief Connie Guglielmo apologized for the errors and said that new procedures have been established to avoid them in the future.

Is the term “mummy” out? Museums in the UK have begun using other words to describe their displays of ancient Egyptian human remains, CNN reports. Instead, they are now using descriptors like “mummified human,” “mummified person,” or “mummified remains of…” with the name included, when it is known.

Why the change in terminology? One reason the new terms are being adopted and names are being included is to stress that they are remains of humans that were once alive. Visitor research into a display of a mummified Egyptian woman at the Great North Museum: Hancock in Newcastle, indicates that many visitors “did not recognize that she was a real person,” museum manager Adam Goldwater told CNN. The new terms encourage visitors to consider the previously living individuals.

It’s also part of a wider move away from imperial and colonial biases: The wording on a panel displayed alongside a mummified man has been changed at the National Museum of Scotland to focus on “how ancient Egypt was co-opted into the idea of ‘Western civilization,’ disconnecting Egypt's ancient heritage from modern Egypt.” It previously described how a British colonial official brought back the remains after working on dam-building initiatives on the Nile.

Dissociating from Hollywood portrayals: The new terminology can also set mummified human remains apart from how mummies are typically portrayed in popular culture. These portrayals frequently “undermine their humanity” through mummy's curse stories and by depicting them as supernatural creatures.

???? ON THE TUBE TONIGHT-
(all times CLT)

Tribes of Europa portrays a grim vision of the future of humanity. The Netflix show, which alternates between action and drama scenes, is set in 2074 and centers on a bloody conflict between European tribes that developed after the planet was set ablaze. The plot shifts back in time to the Middle Ages, with bloodthirsty tribes rising to power and three siblings from the peaceful Origine tribe battling to restore peace to the world. They become further embroiled in the conflict as they obtain a mysterious cube, causing them to witness more death and experience all the pain that comes with it.

???? Novak Djokovic is the tennis world’s top player once again: Djokovic earned the Australian Open title for the 10th time, after defeating Stefanos Tsitsipas in the final match earlier today. The victory also put Djokovic back in the World No.1 spot. The Serbian champion is now neck-and-neck with Spain’s Rafael Nadal for a total of 22 Grand Slam titles throughout his career.

⚽ In the Egyptian Premier League: Enppi hit the field against Smouha at 2:45pm, with the score still at 0-0 as we hit dispatch. Pyramids will also face Ceramica Cleopatra tonight at 7pm, while Zamalek plays Future at the same time.

Happening in La Liga today:

Valladolid v Valencia (3pm)

Osasuna v Atletico Madrid (5:15pm)

Celta Vigo v Athletic Club (7:30pm)

Real Madrid v Real Sociedad (10pm)

And over in Serie A:

Juventus v Monza (4pm)

Lazio v Fiorentina (7pm)

Napoli v Roma (9:45pm)

???? EAT THIS TONIGHT-

By Del Sol Concepts brings exquisite South American coffee and artisanal bakery to Sheikh Zayed. The pet-friendly bakery offers a sweet and savory selection of its signature pastries, such as the delicious brioche muffins, artisan tarts, cruffins, and croissants. Everything is served fresh from the oven, ensuring that you indulge the warm baked delicacies with a big mug of coffee — it truly feels like a hug. The bakery outdid itself aesthetically, with a peaceful color scheme and design that doesn’t disappoint when you are looking to enjoy a relaxed, laid-back morning.

???? OUT AND ABOUT-
(all times CLT)

The Bibliotheca Alexandrina is organizing a public symposium on Nobel laureate and author Naguib Mahfouz tonight at 6pm, at the Sennari House. The event is hosted in partnership with the General Authority for Cultural Palaces.

Puns for the whole family: Comedians are taking the stage tonight at Room New Cairo at 9pm to make dad jokes, and joke about dads.

Another Giggle Terminal Open Mic is happening tonight at the Consoleya at 8pm.

???? UNDER THE LAMPLIGHT-

This Is Not A Book: A challenge to think outside the box. Written by author and artist Keri Smith, this book focuses on sparking creativity and altering readers’ sensory input to create. By the end of the book, readers essentially become a co-author and have the freedom to shape the book however they see fit, based on the guide and prompts throughout the book. Some may use the book’s pointers to turn it into writings, while others will make a scrapbook or even a photo album.

EARNINGS WATCH-

Abu Qir Fertilizers and Chemical Industries’ net income after tax rose to EGP 7.2 bn in 1H 2022-23, up 126% y-o-y, according to its earnings release (pdf). The company’s revenues also rose 80% y-o-y to EGP 11.2 bn.

Obour Land’s bottomline rose 42% y-o-y to EGP 135.7 mn in 4Q 2022 on EGP 1.4 in net revenues, up 61% y-o-y, according to the company’s earnings release (pdf). The cheesemaker’s net income in 2022 stood at EGP 462.4 mn, a 32% y-o-y increase, while net revenues for the year rose 52% y-o-y at EGP 4.6 bn.

MARKET ROUNDUP-

The EGX30 rose 3.7% at today’s close on turnover of EGP 2.5 bn (43.7% above the 90-day average). Local investors were net buyers. The index is up 19.3% YTD.

In the green: Telecom Egypt (+14.7%), Juhayna (+10.1%) and Ezz Steel (+7.4%).

In the red: Heliopolis Housing (-1.7%), Rameda Pharma (-1.4%) and CIRA Education (-0.6%).