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Wednesday, 17 November 2021

TONIGHT: EGX trading fees are getting slashed by 20% + Cabinet members are talking up Egypt’s COP27 agenda. Plus: Charles and Camilla land tomorrow

An uncharacteristically slow November news day, ladies and gentlemen, with both the local and foreign press appearing to take a chill pill. That said, the meeting of our financial regulators is casting a long shadow, especially in light of the FRA’s statement today.

THE BIG STORY TODAY-

EGX trading fees are set to be slashed 20%, the Financial Regulatory Authority (FRA) said in a statement (pdf) today. The fees include those paid on each transaction to the EGX, the FRA, Misr Clearing, Depositing and Registry (MCDR), and the Investor Protection Fund, the FRA said in a statement (pdf) issued yesterday.

The announcement comes as FRA, EGX and MCDR officials are still meeting to discuss a basket of measures announced by the Madbouly government earlier this week in an effort to support trading on the bourse and alleviate investor concerns ahead of instituting the capital gains tax in a few short months. Analysts we’ve spoken with earlier this week appear ambivalent but cautiously optimistic on these changes.

More details coming: Today’s meeting is also set to cover proposals on introducing new caps on margin trading and the decision to loosen caps on intraday share price movements, according to the FRA’s statement yesterday.

^^We’ll have more on this and other stories in tomorrow’s EnterpriseAM.

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

  • Swvl to enter Chile, Argentina with Viapool acquisition: Homegrown mass transport startup Swvl will enter Latin America for the first time with the acquisition of a controlling stake in transit company Viapool.
  • Unemployment rate rises in 3Q2021: Egypt’s unemployment rate rose to 7.5% in 3Q2021, up 0.2 percentage points from the April-June quarter, as the market doesn’t seem to be absorbing fresh grads.
  • Carbon capture announcements lined up for COP27: Joint carbon capture, utilization and storage projects between the Oil Ministry and Italian energy firm Eni are set to be announced at the COP27 global climate summit in Sharm El Sheikh next year, in what could be Egypt’s first carbon-capture initiative.

Cabinet members are talking up Egypt’s agenda for next year’s COP27 climate summit at several expos and conferences abroad. Speaking at the Bloomberg New Economy Forum in Singapore, International Cooperation Minister Rania Al Mashat stressed the importance of focusing on climate financing for developing countries that is effective and “supported by efforts to de-risk investments in emerging economies.” Financing is the “fuel” needed to help countries achieve their climate targets, Al Mashat said.

Egypt’s low-carbon energy plans were also on the agenda for Oil Minister Tarek El Molla during a meeting with International Energy Forum Secretary General Joseph McMonigle, according to a ministry statement. El Molla also touted Egypt’s natural gas transition strategy as a way to increase low-carbon energy sources into its overall energy mix.

It’s the second and final day of the Africa Fintech Summit: The summit looks at innovation in the fintech ecosystem, venture capital and other forms of investing, and will also discuss the rise of healthtech.

THE BIG STORY ABROAD-

There’s still no single story driving the conversation in the foreign press. The Biden administration “is prepared” to invest USD bns to bump up domestic covid-19 vaccine capacity and output to 1 bn doses per year by 2H2022 (NYT), while a blanket of smog in New Delhi is forcing closures of schools and several coal-fired power plants (FT | Reuters).

FOR TOMORROW- The royals are coming: UK’s Prince Charles arrives in town tomorrow and will stay through Friday on his first visit to Egypt in well over a decade. Charles and his wife, the Duchess of Cornwall, are in Jordan today. Look for climate change to be on Charles’ agenda.

Follow Charles and Camilla during their visit: You can check out the prince’s Clarence House website or Twitter feed or check in on UK Ambassador to Egypt Gareth Bayley’s Twitter.

???? CIRCLE YOUR CALENDAR-

Entrepreneurs aged 18-35 have until 23 December to register for TotalEnergiesStartupper of the Year Challenge. The competition is open for a business creation project or startup under three years old in any sector. Candidates can apply here.

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

☀️ TOMORROW’S WEATHER- The warm weather just won’t quit. The mercury is rising all the way to 27°C tomorrow during the day in clear contempt of the fact that it is November. The nighttime is a bit more respectful of the season, with temperatures falling to 16°C, our favorite weather app tells us.

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