Remittance flows set to rebound in 2023 following decline in 2022

Newsletter

20 Jun 2023

Remittance flows set to rebound in 2023 following decline in 2022. According to the World Bank, as the number of Egyptians working abroad recovers from the impact of the Covid-19 pandemic, remittance flows are expected to rise by 3.1% in 2023. This growth is projected to slow down to 1.4% the following year. Based on calculations, annual remittances are estimated to reach nearly 29.2 billion USD this year. (Enterprise)

The International Finance Corporation (IFC) to provide advisory support to government's privatization initiatives.
The government and the International Finance Corporation (IFC) have signed a transaction advisory agreement to receive technical assistance and advisory support for the ongoing privatization efforts. The agreement, signed separately by International Cooperation Minister Rania Al Mashat and IFC Managing Director Makhtar Diop, will enable the IFC to develop a strategy for the sale of state assets. (Enterprise)
CIBF granted license by Financial Regulatory Authority (FRA) for real estate finance and factoring activities.
Commercial International Bank (CIB) has received a license from the Financial Regulatory Authority (FRA) to engage in real estate finance and factoring. In a statement to the bourse, the bank announced that it is in the final stages of preparation before commencing these activities. (Hapi)
Vodafone and Cairo Agriculture forge cooperation agreement for smart agriculture solutions.
Vodafone Business and Cairo University's Faculty of Agriculture have entered into a cooperation protocol to deliver Internet of Things (IoT)-based "smart agriculture" solutions. The collaboration, in partnership with Tomatic, aims to optimize water usage, enhance soil productivity, minimize human intervention, and improve overall agricultural efficiency. The focus includes irrigation techniques, water management, and resource efficiency to boost agricultural productivity while supporting environmental goals. (Economy Plus)
Abu Dhabi Ports announces tender for 1 billion EGP Silo Construction project at Egyptian Ports.
Abu Dhabi Ports and its subsidiary, Transcargo International, are set to launch a tender for the construction of nine silos at a cost of approximately EGP 1 billion. The silos will be used for storing cement and dry bulk cargo and are expected to be operational by the end of the first quarter of 2024. The development follows the signing of two 15-year agreements in March to establish cement terminals at the Al Arish and West Port Said ports. (Enterprise)
ValU successfully concludes fifth securitization bond issue worth 1.42 billion EGP.
Financial technology platform valU has concluded its fifth securitization bond issuance worth 1.42 billion EGP. Backed by a note portfolio, this issuance is part of a recently approved 4 billion EGP securitization program and marks the second issue for valU this year in partnership with Hermes. The release consisted of two tranches, a 12-month tranche with a Prime-1 credit rating of 946.3 million EGP and a 36-month tranche with an "sf" A credit rating of 476.7 million EGP. (Economy Plus)
Petroleum Sector and Enterprise Development Authority Sign MoU to boost small and medium enterprises.
Minister Tarek El Molla oversaw the signing of a memorandum of understanding (MoU) between MSMEDA, EGPC, and EGAS. The MoU aims to support and develop small and micro enterprises, enhance local production, provide production inputs, and improve the competitiveness of Egyptian exports. The agreement also includes expanding car supply stations for compressed natural gas and car conversion centers for dual fuel usage (gas and gasoline). (Arab Finance)
Certificate of Receipt for energy-saving goods received as grant from Chinese government signed.
Yasmine Fouad, Minister of Environment, and Liao Liqiang, Chinese Ambassador in Cairo, witnessed the signing ceremony of a certificate of receipt for energy-saving goods. The goods, received as a grant from the Chinese government, aim to address climate change and enhance Egypt's capabilities in combating it. The project showcases successful cooperation between the two countries in supporting environmentally friendly development and includes goods that promote energy efficiency and the use of sustainable and renewable energy resources. (Arab Finance)
Orascom Capital shares extend gain for second consecutive day following B Investments acquisition intention.
Orascom Financial Holdings' stock continues to rise for the second consecutive day following the announcement of B Investments' acquisition through a stock exchange mechanism. B Investments revealed its intention to acquire a stake ranging from 51% to 90% of Orascom Financial Holdings' shares by presenting a mandatory buyout offer. The execution ratio for the transaction stands at one share of B Investments for every 56.76 shares of Orascom Financial Holdings. As of Monday afternoon, Orascom Financial Holdings' stock showed a notable increase of approximately 8.6% at 0.31 EGP. (Al Mal)
Raya Foods explores investor offers to increase capital by 350 million EGP.
Omar Abdel Aziz, CEO of Raya Foods, has announced that the company is evaluating investor proposals to raise its capital by 350 million EGP. This funding will support the company's expansion plans for the 2023-2024 season, with the goal of achieving sales growth of EGP 1.5 billion by the end of this year and approximately 120 million USD (3.5 billion EGP) by the end of 2026. Raya Foods, a subsidiary of Raya Holding for Financial Investments, reported a significant 65% increase in sales during the first quarter of this year, reaching 300 million EGP compared to 165 million EGP in the same period of 2022. (Al Mal)