Tuesday, 10 February 2015

Egypt ranks high on “HSBC leak” list. Putin has arrived. El-Sisi touches base with GCC leaders. Could oil prices begin recovery in 2H? Further deregulation under electricity law? EFG + Lazard shortlisted for TE advisory. Sherif Cararah joins Pharos.


After a very slow business news day yesterday during which media focused on the fallout of the Air Defense Stadium deaths, we expect heavier newsflow today. President Abdelfattah El-Sisi and his Russian counterpart are set to hold a press conference late this morning. Meanwhile, Cityscape hosts its Egypt Business Breakfast at the Four Seasons Hotel at Nile Plaza, and Al-Shorouk’s leak of what is allegedly the latest draft of the investment law is sure to prompt discussion.

Also, like the rest of the business community, we’re keeping close tabs on black market liquidity and pricing as we look for signs Central Bank Governor Hisham Ramez’s clampdown on the black market is working.


The Egyptian Tourism Authority, in cooperation with the Chinese Embassy in Cairo, are hosting a celebration of the Chinese new year on Friday, 13 February in the latest sign of Egypt’s rapprochement with China following President Abdelfattah El-Sisi’s state visit to Beijing in late December 2014. Egypt is now actively pursuing a share of the world’s largest outbound tourism market.


Coverage of the Air Defense Stadium tragedy and the larger issues of security, organization and conspiracy theories that it raises continued on last night’s talk shows, overshadowing news and commentary on day one of the Putin visit.

Lamees El Hadidy featured a call from Zamalek footballer Omar Gaber, who refused to play in Sunday night’s match in solidarity with the victims of the clashes that were taking place outside the stadium. Gaber claimed that he has submitted his resignation from the Zamalek football club.

“The larger issue here is that we are unable to organize and secure football matches,” said El Hadidy. She asked sports commentator, Ahmad Shobeir about the future of football in Egypt in light of the decision to suspend all football activities in the country indefinitely.

“A 15-day to 3-week period of mourning is of course necessary, but an indefinite suspension won’t solve the issue. We need to address our security issues and immediately draft a law to deal with the Ultras groups similar to the law Margaret Thatcher put in place to deal with the UK’s football hooligans.  I have already been in contact with President El Sisi to share my view,” said Shobeir.

“We need to learn crowd control. Why didn’t we use water to disperse the crowds, why did we have to use the tear gas? Why isn’t the Ministry of interior training officers on crowd dispersal,” asked El Hadidy. She also placed some of the blame on the crowds who insisted on a confrontation with the police.

“There is also a general feeling of injustice in the country. There are those who quickly receive life sentences and EGP 17 million fines and those who commit crimes and receive no punishment whatsoever,” said El Hadidy.

El Hadidy aired a segment of her 25 December 2014 interview with Mohammed Hassanein Heikal in which he talks about the appearance of former members of the NDP and their entry into politics. Heikal said that it is unrealistic to expect them to disappear completely from public life and we should not even attempt to keep them out. However, he warned, a return of the symbols of the old regime can be dangerous as they may pose a threat to the integrity of the regime and the integrity of the election.

Last night’s edition of El Qahira Al Yawm was broadcast from Amman, Jordan.

Amr Adeeb interviewed Nasser Gouda, the Jordanian Foreign Minister. The dialogue centered around the fight against Daesh.

“Jordan has always been a target, so this war on terror is not new for us. We are often asked why we are fighting an American war. The terrorists are acting in the name of Islam. As Muslims, we have to stand up to this so it’s very much our war,” said Gouda.

“Why do I feel that the Americans are not fighting Daesh in earnest,” asked Adeeb. “Why do I feel that you [Jordan] are more serious about this fight? Is it possible that the Americans with all their military power can’t make significant headway in this fight? This is completely unfathomable for a civilian like myself.”

Gouda’s long, diplomatic answer to that question can be boiled down to “It’s not as easy as it looks.” After much prodding from Adeeb, the Foreign Minister conceded that Jordan also has similar concerns about the Americans. “Keep in mind that we are fighting on two fronts simultaneously. This is not merely a physical war, it’s an ideological one as well. The ideological war is the harder battle to win,” said Gouda.

Adeeb also covered Putin’s first visit to Egypt in a decade. In his opinion, the Russian President deserved the grand welcome that he received because of the position that Russia took on the side of Egypt when the “entire western world” was against us.

An extremely angry Youssef El Housseiny took a very harsh stance against Minister of Interior Mohamed Ibrahim and his mishandling of security at the Air Defense Stadium.

“How many mistakes does he have to make before he is removed from his office,” said El Housseiny.

He posed his long critique of the Minister and the Ministry of Interior as a direct plea to the President for the immediate removal of Mohamed Ibrahim.

“I voted for you and I have faith in you and your nationalism. Remove this man from office. We have never seen him do anything good for the country. Not during Morsi’s time, not during Adly Mansour’s time, nor during your time. They put the fans many of whom voted for you in a metal cage and let them die like chickens. How many mothers are crying tonight for the loss of their sons?” said El Housseiny.


Russian Vladimir Putin began his official state visit to Egypt yesterday evening, according to airport officials as reported by Al Arabiya. The Guardian notes that the official meetings will not begin until today. Russian newspaper Nia Rovosti reported yesterday that President Putin will meet with Pope Tawadros II before the official talks today. More on the visit by the Russian president may be found below in our In Focus section; the two presidents are scheduled to hold a press conference late this morning at Qobba Palace.Of note: Minister of Industry and Trade Mounir Fakhri Abdel Nour confirmed that a deal was reached with Gazprom on Saturday to supply Egypt with LNG for five years.

In addition to the calls President Abdelfattah El Sisi made to King Salman of Saudi Arabia and Emir Sabah IV of Kuwait as we noted yesterday morning, the President also reached out on Sunday to Crown Prince of Abu Dhabi Mohamed bin Zayed Al Nahyan in addition to the King of Bahrain Hamad bin Isa Al Khalifa. The leaders of both Gulf states reiterated their unwavering support for the people and development of Egypt, according to statements released by Ittihadiya. On his part, President El Sisi said that Egypt-Arab relations “will not be undermined by nefarious attempts to destabilize the region and jeopardize the unity of the Arab nation.” Ahram Online has more.

Al Shorouk released a sneak peek of what it claims is the final draft of the unified investment law, which includes the much-hyped one-stop-shop investment paperwork. Highlights of the new law include:

  • Treating foreign and domestic investors equally;
  • No restrictions on the repatriation profits;
  • A clear protection from nationalization;
  • A ban on freezing or confiscating assets “unless this is for the common good”;
  • A ban on government-imposed price controls;
  • Allowing GAFI to create an investment promotion authority
  • Certain exceptions for some sectors that bar ownership of “certain nationalities”.

Are you on the HSBC leaks list? So far, the only Egyptian national identified by name is Rachid Mohamed Rachid, who appears in a highlight gallery that includes designer Diane von Fürstenberg, Aliko Dangote (Forbes’ “richest African”), model-turned-entrepreneur Elle MacPherson and Emilio Botin, the late banker. Ranked by funds at HSBC, Switzerland tops the list, followed by the UK. Egypt ranks twentieth, behind Canada and Ireland. Arabs on the list include Saudi’s Prince Bandar, Bahrain’s Salman Al-Khalifa, and the ailing Sultan Qaboos of Oman. The WSJ and the FT have more on the story, including the prospect of potential legal action against the bank in the US and the UK. The best take on the story from an Egyptian point of view is by Mariam Rizk in Ahram Online.

It’s EFG Hermes and Lazard vs. JP Morgan Chase in the bid to advise Telecom Egypt on the planned sale of its 45% stake in Vodafone Egypt, Bloomberg reported yesterday. TE may soon take a decision on which of the two parties to hire, the anonymous sources said to the news service’s Dinesh Nair.

After a brief retirement, veteran broker Sherif Cararah has joined the board of Pharos Holding, Al-Mal reported yesterday. Cararah was head of brokerage and an executive board member of EFG Hermes Holding until 2011 and joins Pharos as an executive board member following the Taymour-led management buyout of the majority stake in the boutique investment bank previously held by Qalaa Holdings.

Property developer Sodic plans new investments of about EGP 2.3 bn this year and is targeting the delivery of more than 680 units, Reuters and Al-Mal report, based on a company statement.

RUNNING: The Egyptian Federation of Industries’ Mohamed El Sewedy announced his intention to run in the upcoming parliamentary elections, as part of the “For the Love of Egypt” electoral coalition, according to Al Borsa.

Could oil prices begin to rebound as early as the second half? That seems to be the take from the IEA in its monthly oil market report out this morning. Also out this morning at 9am Paris time will be the IEA’s Medium-Term Oil Market Report. The WSJ quotes the report as saying a recovery seems “inevitable” and that prices could begin to rebound in the second half of this year. Reuters has a take here. (The Medium-Term Oil Market Report will be available to purchase here for EUR 80. The monthly report will be here for purchase and will be made available free in two weeks’ time.)

BG Group’s new CEO Helge Lund will be assuming his duties over a month early, according to reports by Reuters and the Wall Street Journal. Lund formerly headed Statoil. (Read)

Bedouin housing compounds in North Sinai have security implications: In a story that has ramifications beyond the real estate sector and touches upon the reinforcement of national security through development, Zawya reports citing Amwal Al Ghad that four Bedouin developmental compounds are set to be launched in North Sinai worth EGP 16 mn in the coming few weeks, according to Minister of Housing Mostafa Madbouly. This is in line with plans to develop Sinai through the establishment of 30 compounds by end of 2015, including 15 currently that are currently being rolled out. According to Minister Madbouly as reported by Zawya, the “AlRawaq (49 feddans), Seder El-Hetan (39 feddans), Al-Maleez (37 feddans), Haraba (30 feddans) compounds will be opened with total area of 155 feddans.” Note: Successive governments have often promised large development packages in Sinai in the wake of various terrorist attacks. If completed, this housing development would be a concrete step in the right direction to provide not only highly demanded development to an underserved populace, but could also help to diffuse the socioeconomic deprivation that could possibly fuel terrorism. (Read)

Bahrain confirms it shut down Alarab, Alwaleed’s new television channel, as we first reported last week, saying it had not done enough to “combat extremism and terrorism” and had failed to secure broadcasting permits, according to Reuters, which picked up on reports in Bahraini media. One of the first interviews the channel broadcast was with a member of Bahrain’s’ Shia opposition.


How to Judge Putin’s Trip to Egypt: According to her bio, Anna Borshchevskaya is “an adjunct fellow at The Washington Institute, focusing on Russia’s policy toward the Middle East.” She writes on President Putin’s current state visit to Egypt in a piece titled ‘How to Judge Putin’s Trip to Egypt.’

Borshchevskaya notes that Egyptian-Russian trade is growing: “during a press conference in Moscow late last month, Egyptian ambassador to Russia Mohammed Al-Badri reportedly described bilateral relations as ‘on the rise,’ describing how trade between the two countries had increased to USD 3 bn in 2014. According to Russia’s Federal Customs Service, the figure is even higher — USD 4.6 bn between January and December 2014, USD 4.1 bn of which was Russian exports,” [emphasis ours].

But more importantly, the visit signals Egypt growing closer to Russia in light of the Obama administration’s coldness to the Egyptian government, in addition to the fact that “Moscow’s position on the Brotherhood converges with Sisi’s. In February 2003, the Russian Supreme Court banned the group from operating in the federation and officially labeled it a terrorist organization. The Brotherhood had long been problematic for Russia, with Moscow often claiming that it helped arm radical Islamists in the North Caucasus who continue to destabilize the region today.” (Read)


How to Run a Proper Morning Staff Meeting: (Watch, running time: 2:07)


This may be common knowledge to everyone save this writer, but not only is George Azmy a talented standup comedian, he’s also an incredibly skilled artist. It hasn’t been updated in awhile, but his portfolio is definitely worth a look.


International news coverage on Egypt was mainly concerned for the second day in a row with the deaths of fans at the soccer match the night before last, where approximately 30 fans were killed when police attempted to disperse Zamalek Ultra White Knights who did not hold tickets and who were rushing to enter. The New York Times published early this morning amateur footage from Al Masry Al Youm’s YouTube channel from the incident. The video shows that the game’s organizers unrealistically believed that the enormous crowd would submit to being filtered through a tiny opening through a fence. The crowd outside waiting to get in, for their part, ransacked the outer fence, with the video clearly showing an ocean of people charging straight for the police. To our eyes, this horrible event has as much to do with poor event planning as it does with a lack of crowd-control training by the police forces, but we leave it to our readers to decide: (Watch, running time: 5:33)

Egypt’s Red Dawn: GQ has a very long and well-written piece (despite its content and point of view) regarding the role of the Ultras versus the state in light of the aforementioned deaths two nights ago. The author here paints a compelling picture, but the ending of the piece, whether intentional or not, casts doubt over the legitimacy and continuity of the Ultra’s perceived grievances with the state: “Thinking back now about that ­memorial day, it felt like an end, a chapter that had closed on all of their lives. And on mine. The Ahlawy I had known were seven years older, all approaching their thirties. Heema, Mohamed and Assad had jobs to do, families to plan, futures to sure up. Assad couldn’t be at the ground for the verdict or the memorial; his new job demanded that he travel abroad for a conference. Life had intervened. And rightly so. For what else did these men fight were it not to live?” (Read)

Muslim Democrats of the World, Unite: Tariq Ramadan and some other people no one has ever heard of have issued a joint — not sure what to call it, statement(?) on the very serious website Huffington Post that discusses very serious things such as their latest hard-hitting piece entitled ‘Jane Fonda’s 2015 Grammys Outfit Puts Everyone Else To Shame‘ which we’re sure all the takfiris are reading. Tariq Ramadan, who just coincidentally happens to be the grandson of the founder of the Muslim Brotherhood Hassan al Banna, has this to say: “Dictators like Bachar al Assad and Abd al Fattah Al Sissi of Egypt, to name only them, can call for a reform of Islam as much as they please, let there be no ambiguity: they do not roll on our team, nor do we on theirs.” We’re sorry, but what is a “Bachar”? The main thrust of the piece is to “solemnly [in Huffington Post] call on Muslim leaders committed to democracy, whether political and religious authorities or intellectuals/theologians, to convene in France in early 2016 to define the contours of a progressive interpretation of Islam firmly grounded in the 21st century.” “Bachar”? Ya susu. Still can’t get over it. Right, about the content itself: We’re sure lots of perpetually angry, ignorant Islamists will read Huffington Post and say “Yes; let’s do this.” Good luck with all of that. (Read)

Michael Rubin, senior lecturer at the Naval Postgraduate School’s Center for Civil-Military Relations, argues in his latest op-ed for Commentary: ‘Do Not Ignore Egypt’s Real Security Needs.’ As many analysts have noted in recent days: “ If the United States is going to turn its back on Sisi—a man who seeks to defeat terrorism and promote reform in Islam—then Putin is going to fill the gap … When it comes to strategic suicide, there is no team better than Obama and Kerry. But when it comes to the real world, and America’s economic and security interests, as well as Washington’s desire to promote human rights and reform, there really only is one choice: Full-throated support for Sisi, his security operations in the Sinai, and a real Egyptian-American partnership.” (Read)

Canadian newspaper The Globe and Mail published yesterday an editorial directly calling upon Canadian Prime Minister Stephen Harper to personally intervene in the case of imprisoned Al Jazeera English journalist Mohamed Fahmy in ‘Mr. Harper has to call Egypt – before it’s too late’: “Mr. Harper should phone Mr. el-Sissi directly, and remind him of how seriously Canada takes this case, and how Egypt’s actions are destroying its already tarnished reputation in the Western world. Mr. el-Sissi might even be thankful for such a call. The Fahmy case is the product of an unstable regime, and is likely driven by prosecutors and Interior Ministry officials. A direct appeal from Mr. Harper may light a fire under the Egyptian President, and give him leverage against other arms of his own government.” (Read)


Negotiations with Russia to establish Egypt’s first nuclear reactor
Al Mal | 9 Feb 2015
A source in the Ministry of Electricity told Al Mal that President Abdelfattah El Sisi will conduct negotiations with Russian President Vladimir Putin to establish Egypt’s first nuclear reactor in El-Dabaa. The unnamed source expected the issuance of a decision to build the reactor, especially since the project has been delayed since the 1960s when President Gamal Abdel Nasser was in power. The nuclear reactor is expected to range between 1200MW -1600 MW in power. The source further explained that the Armed Forces have already built the necessary facilities on the El-Dabaa site. (Read in Arabic)

Cabinet is expected to approve new electricity law next week
Al Borsa | 09 Feb 2015
The new electricity law has been sent to the cabinet for ratification, after being drafted and approved by the ministry of electricity and renewable resources The draft law, which prioritizes the consumer, seeks to allow for greater competition in the power supply market. Upon receiving the cabinet’s ratification, the bill will be sent to the President who is expected to sign the bill into law before the Sharm El Sheikh Economic conference. (Read in Arabic)

EBRD strengthens safety and environmental standards in Egypt’s energy sector
Press Release | 09 Feb 2015
The EBRD is providing USD 28 mn to Advanced Energy Systems SAE (ADES) to support best practices in environmental, health and safety (EHS) standards in the local oil and gas industry and to address the shortage of drilling equipment in the country. (Read)

AFD to increase financing for renewable energy projects in Egypt
Al Borsa | 09 Feb 2015
The French Development Agency (AFD) plans on signing agreements to finance wind and solar power stations in Egypt in 2015, according Hélène Djoufelkit, AFD’s deputy country director in Egypt. Djoufelkit said it was hard to ascertain how much exactly would be directed to government programs but said the amount will be between EUR 50-250 mn. In total, the AFD injected over EUR 1 bn in financing projects in Egypt. (Read in Arabic)

PGESCo awarded EGP 500 mn contract
Al Mal | 09 Feb 2015
Engineering consulting firm PGESCo was awarded a development consulting contract of EGP 500 mn for work on a General Electric-run 2,600 MW facility. The contract is the latest in a string of high profile electricity infrastructure projects awarded to PGESCo such as the 1,000 MW power plant in Assiut (jointly with OCI), 14 generators producing a combined 980 MW in Sharm El-Sheikh, and four 125MW natural gas powered generators in Hurghada. (Read in Arabic)


Russia to supply gas to Egypt for 5 years
Al Mal | 9 Feb 2015
Minister of Industry and Trade Mounir Fakhri Abdel Nour announced that the Egyptian government reached an agreement on Saturday with Russian gas company Gazprom to export Russian natural gas to Egypt for the next five years. Abdel Nour added that the agreement stipulates Gazprom to supply six shipments annually as well. (Read in Arabic)

MoP to offer Gazprom E&P opportunities in Egypt, seeks more diesel
Elaph | 09 Feb 2015
Egypt will offer Gazprom the opportunity to engage in E&P operations domestically and the ability to supply Egypt with larger quantities of diesel, according to a source at the Ministry of Petroleum. Gazprom had decreased significantly the amounts of diesel it supplies to Egypt, said the petroleum ministry’s source. Currently, the only Russian oil company operating in Egypt is Lukoil. (Read in Arabic)

SinoTharwa awarded an USD 87 mn drilling contract in Algeria
Al Mal | 09 Feb 2015
SinoTharwa Drilling Company was awarded an USD 87 mn contract to drill for gas in Algeria. The drilling will be conducted for a consortium of companies that includes Sonatrach, Total, and CEPSA. The contract period is for three years and entails drilling 40 wells. SinoTharwa is a joint venture between Sinopec Star and Tharwa Petroleum. (Read in Arabic)

Sea Dragon’s Gulf of Suez concession agreements expire
Al Mal (Print) | 09 Feb 2015
Sources at EGPC said the rights for the Sea Dragon concessions of Shokeir and Gamma in the Gulf of Suez have expired. The ownership of the sites now goes back to EGPC, with Sea Dragon not allowed to engage in any E&P activities. According to Sea Dragon’s managing director in Egypt, losing the Gulf of Suez concessions will reduced the company’s output to 1,200 barrels of crude a day, from 1,600 in 2014. The area will now either be re-tendered or have Sea Dragon’s agreement extended, according to a source at EGPC.


Palm Hills EGM unanimously approves EGP 1.6 bn capital increase
Press Release | 09 Feb 2015
In an emailed press release also posted to the EGX, Palm Hills Development (PHD) announced that during its EGM yesterday, PHD shareholders approved increasing the company’s issued capital from EGP 2.69 bn to EGP 4.34 bn through an issue 824 mn shares, inviting original shareholders to subscribe to a rights issue at the nominal value of EGP 2 per share, in addition to the issuance expenses of 3.5 piasters.


Heads of customs authorities to accelerate the creation of an Arab customs union
Al Ahram | 09 Feb 2015
The heads of Arab customs authorities agreed to adopt new measures to facilitate trade between Arab countries including unifying the customs declaration process. They also agreed to accelerate the process of creating a customs union and alleviate some of the trade barriers. The customs unions will also join forces to protect intellectual property and combat counterfeit goods. (Read in Arabic)

EGP 65 mn in Swiss investments to build a pumping station in Aswan –Governor
Al Borsa | 08 Feb 2015
The Governor of Aswan said a water pumping station and a cistern with a capacity 2,000 cubic meters will be built to increase access to potable water. The project is expected to cost EGP 22.8 mn and will be financed by part of a EGP 65 mn aid package from Switzerland. Swiss investments will also go towards other water and sewage treatment projects as well as a cultural center in Nubia. (Read in Arabic)

MoA to lobby heavily for its “million feddan” project at the Sharm El Sheikh conference
Al Borsa | 09 Feb 2015
The ministry of agriculture and land reclamation announced that it will be promoting and lobbying its “million feddan” project to over 1,000 investors and businessmen at the Sharm El Sheikh Economic Conference in March. (Read in Arabic)


Budget deficit to be reduced to 8% of GDP in four years, inflation to under 9% – Investment Minister
Al Shorouk | 09 Feb 2015
The Minister of Investment, Ashraf Salman, said that the government is aiming to reduce the budget deficit from this year’s target of 10% of GDP to 8% within the next four years, with growth rates targeted to be around 7%. Salman’s comments, which came during Pepsico’s annual meeting, also included his projection of inflation falling to under 9% during the four-year period. The Ministry is also targeting USD 25 bn in FDI in the next two years. (Read in Arabic)

Moody’s report: declining oil prices will see financial benefits for Egypt
Al Borsa | 09 Feb 2015
Credit ratings agency Moody’s released a report stating that declining oil prices will prove advantageous for Egypt’s credit ratings as the cost of fuel subsidies dropped below budgeted costs, which offset a decline in oil related revenues. The impact of declining fuel prices could see the cost pf subsidies drop by 30% than expected by the end of the year, and decreasing the budget deficit to 10% of GDP possibly beyond. (Read in Arabic)

Redrawing the borders between cities completed – Adel Labib
Amwal Al Ghad, Al Mal | 09 Feb 2015
The Minister of Local Development, Adel Labib, said that the process of redrawing borders between cities was completed and set to be made public once a legal amendment with them is passed. The law was delayed because of the change in some of the cities’ governorships, but according to Al Mal, the law will be presented before the end of the month. This comes as part of the government’s decentralization drive. (Read in Arabicand here)

18 year-olds may be tried in adult court
Amwal Al Ghad | 08 Feb 2015
18 year-olds will be tried in adult court from now on following a legal amendment by President El Sisi. Prior to the amendment, the cutoff was at age 21. (Read in Arabic)


Algeria sticks to shale gas development despite protests
Algeria Press Service | 08 Feb 2015
Algeria’s state-owned Sonatrach will continue with efforts to pursue shale gas fracking, despite protests in the In Salah region over health and environmental concerns, according to its interim CEO Said Sahnoun in a press conference in Algeria on Sunday. He reiterated that the energy firm would never carry out activities that could harm the health of Algeria’s citizens or its environment. Five separate inspection operations have been conducted at the Ahnet basin to make sure environmental concerns are respected. (Read)

Tunisia arrests 32 suspected of plotting terror attacks
The Daily Star | 09 Feb 2015
Tunisian authorities arrested 32 extremists and prevented a plot to attack civilian and military sites around the country, including the Interior Ministry, according to the Tunisian Interior Ministry on Saturday and as reported yesterday. The spokesman for the Interior Ministry, Mohammad Ali Aroui, said some of those arrested over several days had traveled to battlefronts abroad, notably Syria. A disproportionately large number of jihadis fighting in Syria have originated from Tunisia, at and estimated number of 3,000 fighters compared to Egypt’s 300. (Read)

India pharma company Cipla forms JV in Morocco
Livemint | 09 Feb 2015
Drug major Cipla Ltd has signed a joint venture agreement with Morocco-based Societe Marocaine De Cooperation Pharmaceutique (Cooper Pharma) and The Pharmaceutical Institute (PHI), as reported by Livemint. Cipla (EU) Ltd, UK, a wholly-owned subsidiary of Mumbai-based drug firm, has inked the JV agreement with the Moroccan entities. As per the agreement, Cipla (EU) Ltd will hold a 60% stake in the JV, while Cooper Pharma and PHI will hold a combined 40% stake. Cipla (EU) Ltd’s expected investment in cash in the JV is estimated at up to USD 15 mn. (Read)

Strike closes Libya’s last functioning onshore oil export terminal
Reuters | 08 Feb 2015
Striking security guards who have not been paid due to a budget crisis brought on by declining oil exports have shut down Libya’s last functioning oil port of Hariga on Saturday, according to an official speaking to Reuters. The closure will compound the problem, with the move expected to decrease oil output to less than 300,000 barrels a day, compared to the 1.6 mn barrel / day output Libya used to be able to produce before the 2011 uprising that toppled Muammar Gaddafi. The Hariga port’s shutdown meant that the Greek-registered Minerva Zoe was unable to load 725,000 barrels of oil, according to the official who spoke to Reuters. The fall of oil exports to a trickle has caused a budget crisis, delaying salary payments and halting development projects and hampering the supply of drugs to hospitals. (Read)


Gunmen fire on Marseille police in drug incident as PM Valls visits city: Gunmen fired on a police chief’s car in Marseille on Monday in what local officials said was a drug-related incident that came just hours before a visit by Prime Minister Manuel Valls. (Read)

A train derailment in Bani Mazar in Minya has led to 7 injuries reported thus far. (Read in Arabic)


USD CBE auction (Monday 09 Feb): 7.5301 (unchanged since Monday 02 Feb)
USD parallel market (Monday 09 Feb): 7.78 (-0.20)

EGX30 (Monday): 9,884.46 (-0.74%)
Turnover: EGP 644.4 mn (5% below the 90-day average)

WTI: USD 52.13 (-1.38%)
Brent: USD 57.54 (-1.37%)

TASI: 9.390.3 (+0.5%)
ADX: 4,647.0 (+0.6%)
DFM: 3,941.4 (+1.2%)
KSE: 449.2 (+0.01%)
QE: 12,667.3 (-0.3%)
MSM: 6,691.3 (-0.5%)


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