Back to the complete issue
Monday, 13 June 2016

What we’re tracking this week

The local wheat buying season will end on Wednesday as the government has already surpassed its set target of buying 4 mn tonnes. "Supplies Minister Khaled Hanafi pointed out that the door for receiving local wheat from farmers will close at the end of Wednesday due to lowering local procurement rates," Reuters quoted a Supply Ministry statement as saying.

Interest rate watch: The U.S. Federal Open Market Committee meets to discuss interest rates this coming Tuesday and Wednesday (14-15 June), with the Central Bank of Egypt’s Monetary Policy Committee due to do the same on Thursday. EFG Hermes’ Mohamed Abu Basha has come down on the side of a rate hike, predicting yesterday that the MPC would raise rates 25 bps, writing: “We see May’s sharp inflation acceleration – especially that of core inflation – warrants a move by the central bank. We therefore expect a 25bps rate hike on 16 June meeting, frontloading part of the 50-100bps hike we expect in 2H16 associated with the implementation of VAT.” Picking up where we left off yesterday, that leaves us so far with two analysts predicting a rate hike and one expecting none.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of HSBC Egypt (tax ID: 204-901-715), the leading corporate and retail lender in Egypt; EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Mashreq (tax ID: 204-898-862), the MENA region’s leading homegrown personal and digital bank; Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt; Hassan Allam Properties (tax ID:  553-096-567), one of Egypt’s most prominent and leading builders; and Saleh, Barsoum & Abdel Aziz (tax ID: 220-002-827), the leading audit, tax and accounting firm in Egypt.