CBE sells €626.4M in treasury bills

Newsletter

16 Aug 2023

CBE sells €626.4M in treasury bills. The Central Bank of Egypt auctioned euro-denominated treasury bills totaling €626.4 million with a 4% average yield on August 14th. These T-bills, valued at €600 billion, have a 364-day duration and will mature on August 13th, 2024. The bank attracted 25 bids amounting to €806.4 million. (Arab Finance)

UAE's Al Dahra and ADEX sign $500M agreement to deliver wheat to Egypt
UAE's Al Dahra and the Abu Dhabi Exports Office (ADEX) have inked a $500 million deal over five years to supply Egypt with wheat at competitive rates. Amounting to $100 million annually, the deal benefits from ADEX's low-cost financing. Egypt's Minister of Supply and Internal Trade, Ali Moselhy, emphasized the agreement's advantageous payment terms and cost efficiency. (Reuters)
FRA releases USD pension certificates for Egyptians living abroad.
The Financial Regulatory Authority (FRA) of Egypt has introduced the first US dollar-based pension and insurance certificate for Egyptian expatriates. With prices ranging from $500 to $10,000, these certificates can be purchased by expats aged 18-59 online without a physical examination. Additional yearly instalments can start from $50. The certificate matures in five years, and pensions are available as a lump sum or monthly payments over 10 to 15 years after reaching specific age milestones. Payments are also made in case of death or disability. This initiative aims to bolster foreign exchange during the prevailing economic challenges. (Arab Finance)
Madbouly prioritizes transit trade for Egypt's global push.
Prime Minister Dr. Mostafa Madbouly emphasized that capitalizing on transit trade, leveraging existing ports and their strategic locations, is a current top priority. This is in line with President Abdel Fattah El-Sisi's directive for Egypt to become a global hub for trade and logistics. A dedicated committee has been established to oversee this initiative. The Minister of Transport, Lieutenant General Eng. Kamel Al-Wazir, highlighted the significance of these projects and the ongoing growth in transit trade. (Hapi Journal)
Ministry of Finance releases EGP 4 billion to exporters in third installment of initiative.
From today, the Ministry of Finance will release the third payment of the "immediate cash payment" initiative, distributing around EGP 4 billion to 744 exporters. This makes the total support for this sixth phase about EGP 12 billion for 1,558 companies. The Cabinet boosted the budget for this phase by EGP 2 billion, reaching EGP 12 billion, aiming to aid the business and exporting community. The Finance Ministry had already paid EGP 8 billion in the initial two installments of this phase. Since October 2019, more than EGP 50 billion has been paid to exporters through related initiatives. (Economy Plus)
Egyptian banks and Businessmen Association discuss boosting export growth.
Committees from the Egyptian Businessmen Association met with top officials of major Egyptian banks, including the Export Development Bank, National Bank of Egypt, CIB, Banque du Caire, and EBRD, to discuss the banks' roles in boosting export growth. (Al Mal)
Egyptian Tax Authority mandates full branch registration under VAT Law.
The Egyptian Tax Authority has urged entities under the Value Added Tax Law (Law No. 67 of 2016) to register all their branches, not just their main offices. Branches must each obtain a registration certificate, with the main office displaying a green certificate and branches displaying blue ones. Fayez al-Daba’ani, the Authority's head, emphasized that non-compliance could result in penalties for tax evasion. Proper registration will ease electronic invoicing and interaction with other digital tax systems. (Economy Plus)
GB Corp sees 15.5% drop in H1 2023 profits amid declining revenues.
GB Corp, a leading Middle East automotive company, experienced a 15.5% YoY decline in consolidated net profits in H1 2023, with earnings of EGP 608.252 million. This is down from EGP 719.864 million in H1 2022. Their H1 2023 operating revenues also decreased to EGP 10.751 billion from EGP 15.675 billion in H1 2022. Additionally, GB Corp reported standalone net losses of EGP 1.130 million for the first six months of 2023. (Arab Finance)
Egypt-Palestine trade surges in 2022, with significant changes in remittances.
In 2022, Egypt-Palestine trade rose 27.6% to $451.9 million, with Egyptian exports to Palestine increasing by 28.4% to $451.5 million, according to CAPMAS. Egyptian imports from Palestine saw an 83.8% decline to $423,000. Egyptian remittances from Palestine grew 40.5% to $53.5 million in FY 2021/2022, but Palestinian remittances from Egypt fell by 97% to $1.2 million. (Arab Finance)
Orascom Development Egypt sees 59.9% surge in H1 real estate sales reaching EGP 7.5 billion.
Orascom Development Egypt reported a 59.9% growth in real estate sales for the first half of the year, reaching EGP 7.5 billion. The boost in sales is attributed to a rise in the average price per square meter and an increased number of units sold. OWest, El Gouna, and Makadi Heights were the top contributors to the sales. The company's total revenues for the same period surged to EGP 6.2 billion, marking a 62.2% increase from last year. (Hapi Journal)