Pre-Trading Thoughts

Al Ahly Pharos

In line with IMF directives, the government is committed to have energy prices reach cost recovery levels by the end of the year.

The Prime Minister said that the government set a target inflation rate at 10% by 2026.

The IMF's mission chief to Egypt, stated that the fifth review of Egypt's loan program will take place before the end of June, according to the current schedule for disbursing tranches.

After a sharp wave of outflows, foreign and Arab investors in the local debt market shifted to net buying for the second day in a row, following the IMF'S approval of the disbursement of Egypt's fourth tranche.

The government is currently working on moving the Chill Out's company ownership from the National Service Projects Organization’s (NSPO) National Roads Company subsidiary to the Sovereign Fund of Egypt, once this step is completed the fund will start restructuring the fuel retailed ahead of its planned IPO, sources said.

UK-based oil and gas giant Shell is investing some USD300 mn alongside Petronas in its ongoing drilling operations in the West Delta Deep Marine concession as part of its 11th phase, Shell Egypt VP and Country Chair said.

Egypt has raised the purchase price of newly extracted natural gas from three concessions owned by the British company Cheiron Petroleum in the Western Desert by 61%, to USD4.25 per million British thermal units.

EFIC board of directors proposed a cash dividend distribution of EGP15.00/share for FY24, implying a payout ratio of 71% and a dividend yield of 10%.

CCAP plans to launch an initial public offering (IPO) of its subsidiary, National Printing, on the EGX by June. The offering allows the exit of an existing shareholder.

ESRS will move to the over-the-counter (OTC) market at the start of trading today after completing a share buyback from minority investors.

DSCW's BoD approved the purchase of a plot of land owned by the NBE and Banque Misr, valued at c. EGP167 million.

DSCW's BoD canceled the planned purchase of Twin Top Real Estate Investment Company after failing to reach an agreement on the purchase price.

The Social Housing and Mortgage Finance Fund signed a cooperation protocol with QNBE Egypt to provide EGP5 billion in mortgage loans to finance housing units on favorable terms and at subsidized interest rates, doubling the bank's allocations for this purpose to EGP10 billion.