THIS EVENING: Inflation picks up again in October + Al Mansour, GM are launching our first locally-produced EV
Good afternoon, friends, and a very happy THURSDAY to us all. It’s been quite a marathon of a week with COP27 going strong in Sharm El Sheikh, where participants can look forward to a breather on Sunday.
THE BIG STORIES TODAY
#1- Inflation accelerates again in October: Urban consumer price inflation rose to 16.2% last month, from 15.0% in September, fueled largely by higher food and beverage costs, according to CAPMAS figures (pdf) released today. October’s inflation figure surpassed the four-year high reached in November 2018.
#2- Egypt is about to see its first-ever locally produced electric vehicle, courtesy of Al Mansour Automotive and General Motors, Al Borsa reports. We’ll be keeping an eye on the launch, which is set to happen today, for more details on the brand, size, and other specs of the EV.
#3- FROM COP LAND: International Cooperation Minister Rania Al Mashat released the Sharm El Sheikh Guidebook for Just Financing (pdf), which covers the problem areas in climate financing and the prospects and proposed steps to ensure a more just framework moving forward.
Palm Hills Development reported a record-high net income after tax and minority interest of EGP 911 mn in 9M 2022, up 43% y-o-y, the developer said in its earnings release (pdf). The record bottom line comes on the back of revenues also reaching an all-time high during the nine-month period to EGP 9.5 bn, according to the earnings.
THE BIG STORY ABROAD
There are two stories clamoring for attention in the international business press this afternoon: The first is the still-undetermined outcome of the US midterm elections, where the fate of the Senate is up in the air (Reuters | Wall Street Journal | CNBC), while the second is FTX’s impending collapse after the world’s largest crypto exchange, Binance, abandoned plans to acquire FTX (The Financial Times | Bloomberg).
The first International Series Egypt golf tournament kicked off today at Madinaty Golf Club, with the tournament running through this coming Sunday, 13 November. Austrian golf champion Bernd Wiesberger makes his first appearance in the Asian Tour since 2019 today, according to a statement (pdf). The tour coming to Egypt is “planting a seed” and that it “makes total sense” for the tournament to be hosted here, considering there are nearly 80 golf courses in the country and there is “definitely a demand for professional tournaments,” Wiesberger said.
** CATCH UP QUICK on the top stories from today’s EnterpriseAM:
- Egypt is getting USD 15 bn for energy, food + water projects under NWFE: Egypt has signed a number of partnerships with international finance institutions and development partners to implement projects worth USD 15 bn under its Nexus on Water, Food and Energy (NWFE) program.
- The EGX yesterday announced it would set up Africa’s first voluntary carbon market on the sidelines of COP27.
- Another wind farm courtesy of OC: Orascom Construction’s (OC) consortium with Engie and Toyota Tsusho has signed up to build a fresh 3-GW wind farm here.
🗓 CIRCLE YOUR CALENDAR-
Five to seven agreements will be signed with companies to export renewable energy at the SCZone, Planning Minister Hala El Said told Bloomberg Asharq (watch, runtime: 1:36). The SCZone has long been expected to sign agreements with international companies to establish green hydrogen and ammonia plants at COP27. Initial agreements worth bns of USD have been signed this year, the most recent of which was with Maersk for a huge USD 15 bn facility capable of producing 3 mn tons of fuel a year.
PSA- If you’re self-employed, you have to register in the Tax Authority’s e-invoice system by 15 December. This includes self-employed doctors, engineers, lawyers, and artists, the Egyptian Tax Authority said in a statement. Only e-invoices will be considered for VAT deduction or refund as of 1 April, 2023.
What e-invoicing system? In late 2020, the Tax Authority launched a pilot program for B2B e-invoicing with 134 companies, before expanding the system to all large taxpayers in July 2021. All B2B and B2C invoices across the country should be fully automated by December. We have a primer on the system, its purpose, the timeline of implementation along with a list of phase one companies here.
☀️ TOMORROW’S WEATHER- The mercury will rise to 26-27°C on Friday and Saturday while nighttime lows will be in the 15-16°C range during the weekend, our favorite weather app tells us.