Banque du Caire offers upfront time deposits at competitive interest rates

Newsletter

17 Oct 2022

Banque du Caire offers upfront time deposits at competitive interest rates. Banque du Caire (BDC) (BQDC) is offering its customers time deposits (TDs) with at the highest competitive upfront interest rates. The one-year upfront time deposit carries an interest of 9.25%, while the six-month and the three-month upfront TDs have interest rates of 9% each. The amount for issuing the TDs is 100,000 EGP and its multiples, with the minimum issuance balance at 300,000 EGP, the bank revealed on its official website. The total TD interest is credited by the following day of the issuance, the bank noted. The TD is renewable as per the clients’ request, BDC pointed out, adding that the TD is breakable any time before maturity. (Al Mal)

EFG Hermes and Sovereign Fund of Egypt’s (SFE) education management firm Egypt Education Platform (EEP) has inked an agreement to acquire an undisclosed majority stake in education platform Selah El Telmeez (SET)
The SFE will also acquire a minority stake in SET. EEP Communications Director Amr Sherif declined to disclose the exact stake or value of the transaction when asked. (Al Mal)
Exempting Egyptians abroad from customs duties on cars may attract 2.5 billion USD to Egypt: Maait.
The initiative launched by the Egyptian government to exempt expatriates from customs clearance fees and taxes to import over 500,000 cars to Egypt is expected to attract around $2.5 billion in foreign currency, Minister of Finance Mohamed Maait said. Egypt’s public treasury pumped nearly 20 billion EGP to 25 billion EGP into the initiative, Maait revealed. (Bloomberg Asharq)
Maait explained that the initiative will last only for four months so that it would not have an impact on Egypt’s plan to bolster the auto industry
under which the government allocates around 3 EGP annually. Moreover, he noted that no restrictions would be set on withdrawing initiative-related deposit at maturity after five years. On October 12th, the Egyptian Cabinet approved a draft law enabling Egyptian expatriates holding valid residencies to import cars for personal use while being exempted from customs clearance fees and taxes, including the value-added tax (VAT) and payroll tax. (Bloomberg Asharq)
Egypt, IMF likely to reach staff-level agreement very very soon
Egyptian authorities and the staff of the International Monetary Fund (IMF) agreed to finalize their negotiations in preparation for reaching a staff-level agreement very soon. The IMF’s staff and the Egyptian team have made “substantial progress” regarding all policies. A continued fiscal consolidation path would help Egypt to shield public debt sustainability and cut the debt-to-GDP ratio in the medium term. The two parties also discussed more fiscal and relevant structural policies to boost social protection for the most vulnerable. Moreover, these policies would improve the budget composition and fiscal transparency in Egypt. (Bloomberg Asharq)
CBE’s governor voices concern for developing economies
The Governor of the Central Bank of Egypt (CBE) Hassan Abdalla expressed his concerns regarding the economic conditions in developing countries, especially in low- and middle-income countries. In his speech during the Annual Meeting of the International Monetary Fund (IMF) and the World Bank Group (WBG) in Washington DC, Abdallah highlighted the challenges facing these countries, including insufficiency of funding and the limited accessibility to markets, noting that many of these countries are in the Middle East and Africa. The governor also urged the IMF to continue working with partners to tackle existing and future debt challenges. (Hapi Journal)
Moreover, Abdalla invited all international institutions to attend the 2022 United Nations Climate Change Conference (COP27) in Sharm El-Sheikh in November
The CBE’s governor called on the IMF and the WBG to continue their support in financing the efforts for the prevention of the spread of the Covid-19 virus in developing countries, and to expand that support to eradicate the virus completely. Abdalla remarked that climate change has created a new kind of structural challenges for the world, adding that climate change could push around 132 million people over the globe to extreme poverty. (Hapi Journal)
Egypt’s primary surplus hits 0.11% of GDP in Q1 FY 2022/2023
Egypt achieved a primary surplus of 0.11% of gross domestic product (GDP) in the first quarter (Q1) of fiscal year (FY) 2022/2023, Minister of Finance Mohamed Maait said. During his meetings with officials from Moody’s and S&P Global Ratings at the annual meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG), Maait highlighted that digitalization projects contributed to raising tax revenue by 20% year-on-year (YoY) during the period from July to September 2022. Additionally, Maait added that the Suez Canal’s revenues hit record highs in July 2022, surging by 31% YoY to 704 million USD. (Hapi Journal)
In a number of meetings with representatives of international banks, Maait revealed that the Egyptian government is seeking to attract eco-friendly investments
In fields like the manufacturing of cars powered by electricity or natural gas, solar power, green hydrogen, seawater desalination, and wind power. The finance minister also noted that the Egyptian economy achieved an exceptional performance in FY 2021/2022 due to improvements in tourism, manufacturing, oil and natural gas, and information technology sectors despite the ongoing challenges facing the global economy. (Hapi Journal)
European lenders should support East Mediterranean gas producers: El-Molla
The European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB), the lending arm of the European Union (EU), should offer East Mediterranean gas companies accessible concessionary funds with flexible terms to accelerate supplies to Europe, quoting Egyptian Minister of Petroleum and Mineral Resources Tarek El-Molla. This comment was made by El-Molla at the East Mediterranean Gas Forum (EMGF). El-Molla added that funding should go hand in hand with efforts to build a “green corridor” between the East Mediterranean and Europe of hydrogen or renewable energy. (Reuters)
Egyptian Cabinet settles disputes with Dutch, Italian companies
The Egyptian Cabinet has issued a set of decisions settling disputes over investment contracts with international companies. The cabinet settled a dispute with Future Pipe Industries BV aimed at the protection of mutual investments between Egypt and the Netherlands. Another dispute was also settled between Egyptian Chemical Industries (KIMA) (EGCH) and Italy’s Maire Tecnimont Group. The cabinet also settled disputes over the project for the development of Hikr Abou Domah district in Rod El Farag. (Arab Finance)
HoldiPharma, ADIB Egypt seal 3.4 billion EGP loan agreements
The financing packages provided by ADIB to the subsidiaries of HoldiPharma will cover the ongoing projects compatible with the good manufacturing practice (GMP). This will contribute to boosting HoldiPharma’s market share in the Egyptian market and increasing its exports to foreign markets. Under the agreements, ADIB will also grant loans to finance the working capital of HoldiPharma’s subsidiaries. The signing comes in line with the public business sector’s strategy to develop its affiliated companies in the pharmaceutical sector and boost their contribution to the national economy. (Arab Finance)