Egypt’s annual urban inflation rate hiked in August to 14.6 percent according to the state-statistic body CAPMAS
Egypt’s annual urban inflation rate hiked in August to 14.6 percent, compared to 13.6 percent in July, according to the state-statistic body CAPMAS. On a monthly basis, inflation recorded 131.7 points in August 2022, recording a 0.5 percent increase compared to July 2022, the CAPMAS said. CAPMAS attributed the increase in inflation to the rise in the prices of vegetables, grains, bread, smoke, goods and services used in home maintenance and transportation services, while the prices of fruits, meat and poultry decreased. It elaborated that the prices of the vegetables group increased by 12.5 percent, the cereals and bread group rose by 3.3 percent, the smoke group hiked by 1.6 percent, the goods and services used in home maintenance group climbed by 2 percent, the transportation services group surged by 2 percent, and the ready-made group by 1.2 percent. This came despite the decrease in the prices of the fruits group by 8.3 percent, and the meat and pourtly group by 5 percent. The Central Bank of Egypt (CBE) aims to achieve an inflation rate of 7 percent (±2) percentage points on average during the fourth quarter of 2022. The recorded inflation rate is the highest since 2018. (Alsharq Bloomberg)
- The Central Bank of Egypt (CBE) revealed a slight decline in its net international reserves in August to reach $33.141bn, compared to July’s $33.143bn.
Egypt’s reserves consist of foreign currencies that include the USD, euro, GBP, Japanese yen, gold, special drawing rights (SDR) units, and net loans from the International Monetary Fund (IMF). The purpose of the reserve is to support the EGP, fulfil the country’s external obligations, and ensure its imports of basic commodities for several months. The size of the reserve for any country represents a source of strength or weakness according to its value and ability to meet the country’s foreign exchange obligations. The resources of the Suez Canal Authority, tourism, export, foreign investment, and remittances of workers abroad are the most important resources feeding Egypt’s reserves. Earlier, the CBE revealed the payment of about $24bn since the beginning of this year, including $10bn in external debts and $14bn in foreign funds. (Al Ahram)
- Egypt’s Irrigation Minister discusses cooperation with WMO Secretary-General last Thursday.
Both officials addressed the international initiative to execute adaptive measures in the water sector that will be presented by Egypt in the upcoming UN Conference of Parties (COP27) in cooperation with the WMO and other international partners. The initiative includes raising the efficiency of water usage, agreeing on policies and methods of cooperation in all activities related to water, and linking the water and climate agendas in a way that contributes to achieving the UN sustainable development goals (SDGs).According to a statement from the Ministry, the meeting also discussed the initiative that is being prepared by the WMO — commissioned by the UN Secretary-General — to provide early warnings of climatic phenomena in all countries of the world. (Al Ahram)
- Expedition Investments has amended the price of its mandatory purchase offer (MTO) for Arabian Food Industries Company (Domty) (DOMT) to EGP 5.5 per share, instead of EGP 5 per share.
Domty revealed that its independent financial advisor (IFA) BDO set the fair value (FV) of Domty’s stock at EGP 6.90, which is 38% higher than the offered price of EGP 5. On August 16th, the FRA approved the submitted offer by Expedition Investments to acquire up to 34% stake in Domty at a price of EGP 5 per share. Domty is an Egypt-based company engaged in the production and sale of dairy products, including cheese products, such as Tetra Pak cheese, plastic tubes cheese, mozzarella cheese, and spread cheese, as well as milk products and juices. (Arab Finance)
- The EFG Hermes Foundation for Social Development signed a partnership agreement with the Ministry of Education and Technical Education, represented by the General Authority for Educational Buildings to convert 102 schools in Luxor and Aswan to clean solar energy.
Through this project, power of 700 kilowatts-hour (kWh) will be generated to help reduce 250 tons of Co2 emissions annually. This move comes in line with Egypt’s strategy to reduce emissions and promote dependence on renewable energy as part of the National Climate Strategy 2050 and Decent Life initiative. EFG Hermes established the EFG Hermes Foundation in 2006 a non-profit, non-governmental organization. It is worth noting that EFG Hermes Holding (HRHO) established the EFG Hermes Foundation as a non-profit, non-governmental organization in 2006. (Arab Finance)
- Banque Misr and OPay Egypt signed a cooperation protocol to offer financial solutions and products to micro and small enterprises.
Under the agreement, OPay will provide clients with a link to apply for Banque Misr’s financial products and express loans. Banque Misr will provide OPay’s clients of micro and small enterprises with financing options. OPay is a fintech company focused on the Middle East and Africa region. OPay operates in Egypt, Nigeria, and Pakistan, processing tens of millions of transactions daily. (Mubasher)
- Banque du Caire (BDC) (BQDC) has purchased a skate in IBAG, Western Union’s first agent in Egypt, from National Bank of Egypt’s (NBE) investment arm Al Ahly Capital Holding and Banque Misr.
With BDC joining the shareholding of IBAG, it brings the total share of the three banks to 40%, with the stake of Sarhank Group remaining the same at 60%. "This addition contributes to the increase of foreign exchange flows and remittances of funds of expatriate Egyptian workers, increasing the opportunities of attracting new categories of target customers to the banking sector through official financial transfer methods,” CEO of NBE and Al Ahly Capital Holding Hisham Okasha commented. This strategic partnership builds on the participating banks’ existing remittance services for Egyptian living and IBAG’s extension in receiving foreign remittances. (Arab Finance)
- Egyptian renewable energy solution provider Infinity announced that it will develop, manage, and operate a solar power plant with a capacity of 6-megawatt peak (MWp) to serve the 2022 United Nations Climate Change Conference (COP27) in Sharm El-Sheikh.
The project is executed in partnership with UAE’s Masdar Clean Energy. It will have the potential to generate 11,723 megawatts per hour annually. The total energy to be produced by the plant will have the capacity to power 5,275 homes per year. It will also cut carbon emissions by 4,368 tons each year. Moreover, the plant is slated for operation by the end of October 2022. (Mubasher)
- Sixth of October Development and Investment Company (SODIC) (OCDI) announced the relaunch of its New Zayed project, which has been postponed due to the re-zoning of New Zayed city.
The re-masterplanned project now spans an area of 464 acres. Moreover, the real estate developer has launched a new phase of Karmell, which features fully-finished apartments and houses and full-fledged amenities and entertainment spaces, bringing the Californian “Carmel-by-the-sea” experience to Egypt (Mubasher)
- Crédit Agricole France has purchased 60 million shares in Crédit Agricole Egypt on 8 September 2022.
Hence, Crédit Agricole France’s shareholding percentage in Egypt's branch has increased to 52.18% from 47.38%, whilst the group holding, including related parties rose to 65.25% from 60.45%, according to a stock exchange statement on Thursday. The acquisition transaction testifies Crédit Agricole France's confidence in the development and performance of the Egypt business. (Mubasher)
Stay up to date
More Newsletter to Check
SUBSCRIBE TO NEWSLETTER
Subscribe to download our daily economics and business roundup
×
![]()