QatarEnergy signed a farm-in agreement with ExxonMobil to acquire a 40% participating interest in the “Cairo” and “Masry” offshore exploration concession agreements, a statement showed on May 13. Offshore exploration concession The deal, which is subject to customary approvals by the Egyptian government, will see ExxonMobil, the operator of the two concessions, retain the remaining 60% working interest. “I am pleased with our entry into the Cairo and Masry offshore exploration blocks as they expand QatarEnergy’s presence in the Arab Republic of Egypt and extend our ambitious exploration program in-country,” said Saad Sherida Al-Kaabi, the Qatari Minister of State for…
Author: Doaa A.Moneim
The Monetary Policy Committee (MPC) of the Central Bank of Egypt (CBE) is set to convene on Thursday to evaluate pivotal interest rates, amidst a backdrop of significant global and domestic economic developments, with a sharp focus on inflation trends. Thursday’s meeting marks the third gathering of the MPC in 2024, also serving as the final session of the current fiscal year 2023/2024, concluding on June 30. Anticipation surrounds the likelihood of the committee maintaining the existing interest rates, given the cooling inflation. Hany Abo El-Fotouh, a banking expert and CEO of Alraya Consulting, anticipates the CBE’s decision to uphold…
Egypt’s House of Representatives has approved a draft law allowing the private sector to manage and operate public healthcare facilities. Here is what we know about the new regulation. The new law regulates granting concessions for public facilities to establish, manage, and operate healthcare facilities, aiming to improve quality, efficiency, and geographic distribution of services. Certain mandatory healthcare facilities and services, as well as those with national security implications, are excluded from concessions, along with primary healthcare centers, family health units, and blood operations. The law ensures that citizens receive the same level of services, including preventive, vaccination, and emergency…
Global merger and acquisition (M&A) activity plunged in 2023, with deal values dropping to $2.5 trillion from their peak of over $5 trillion in 2021, according to the latest Global M&A Industry Outlook report by PwC. Global deal volumes saw a 17% year-on-year plunge, falling from just over 65,000 deals in 2021 to approximately 55,000 in 2023. Rising interest rates, financing challenges, and slowing economic growth in many regions have contributed to this decline, according to the report. Mid-markets fares better Mid-market deals fared better than expected due to their relative ease of execution in a challenging financing environment, the…
A consortium including Infinity Power, Africa’s largest renewable energy developer, Hassan Allam Utilities, and Masdar, the UAE’s flagship renewable energy company, signed a $10 billion Land Access Agreement with the Egyptian Government for their 10GW capacity onshore wind farm. $10 billion Land Access Agreement The agreement grants the consortium access to a 3025 km2 land area in West Suhag, enabling them to conduct essential development studies for the project, according to a statement released on May 13. These studies, including resource measurement campaigns, geotechnical and topographic surveys, and environmental assessments, aim to minimize environmental impact. The results will be crucial…
Egypt’s Minister of Finance, Mohamed Maait, declared that Monday, April 29, marked the final opportunity to take advantage of the “Facilitation of Car Import for Egyptians Abroad” initiative, with no plans for extending its deadline. Car imports Launched in 2023 to tackle Egypt’s severe foreign exchange shortage experienced over the past two years, the initiative mandates beneficiaries to deposit the car’s purchase amount into the finance ministry’s account at the National Bank of Egypt in US dollars. The initiative has garnered significant attention from Egyptians abroad, with over half a million individuals submitting their applications. The Minister highlighted that the…
Following pledges of over $57 billion from international financial institutions (IFIs) and other partners to aid Egypt amid the severe economic implications of escalated tensions during the Gaza war, effective management is crucial to ensure these finances sustain foreign exchange flows and address the country’s high level of debt, experts say. Bailout finances In February, Egypt signed a development deal for the Ras El-Hikma coastal zone, securing $24 billion in cash flow, with an additional $11 billion of UAE deposits at the Central Bank of Egypt (CBE) directed towards project investments. The International Monetary Fund (IMF) also increased its Extended…
In a significant stride towards bolstering its digital infrastructure, Egypt unveiled its inaugural Government Data and Cloud Computing Center (P1) situated on Ain Sokhna Road. The center, sprawling across approximately 23,500 square meters, with 10,000 square meters earmarked for immediate construction and ample space allotted for future expansions, aims to revolutionize the country’s digital landscape. At the heart of this initiative lies a commitment to providing essential services to Egyptian citizens, aligning seamlessly with Egypt’s overarching Digital Strategy, which centers on facilitating citizen services, empowering youth for global competitiveness, and fostering innovation within the nation. The inauguration ceremony, graced by…
The International Monetary Fund (IMF) has released a comprehensive staff report assessing Egypt’s economic landscape since the approval of its Extended Fund Facility (EFF) loan program in December 2022. Originally set at $3 billion, the IMF has recently bolstered the loan deal to $8 billion. This expansion comes in response to the far-reaching impacts of global and regional tensions. In conducting its first and second reviews, the IMF’s report outlines crucial figures that shed light on Egypt’s anticipated performance in the upcoming fiscal year 2024/2025, commencing on July 1. Moreover, the report underscores the ramifications of ongoing conflicts on the…
US-based Fitch Ratings upgraded Egypt’s Long-Term Foreign Currency Issuer Default Rating (IDR) outlook to Positive from Stable, citing reduced external financing risks, while keeping the Issuer Default Rating at B-. Key drivers The agency attributed its action to the country’s reduced external vulnerability due to the Ras El-Hekma deal with the UAE, flexible exchange rate, and tighter monetary policy, which have significantly lowered near-term external financing risks. According to Fitch’s note on the country’s credit rating, “These measures also unlocked additional financing from international financial institutions (IFIs) and a return of non-resident investment in Egyptian debt.” In February, Egypt signed…