Pre-Trading Thoughts

·         Core inflation inched up at 5.97% YoY in December up from 5.8% in November·         The Central Bank of Egypt issued a circular yesterday outlining the conditions and procedures for granting "emergency liquidity support " to banks operating in Egypt·         EXPA aims to achieve a net profit of EGP917 million in 2022, compared to a target profit of EGP473 million in 2021·         FRA revealed that the insurance companies’ premiums increased during the ten months ending October 2021 to EGP41 billion (+28.5% YoY), while claims reached EGP18.7 billion (+14.7% YoY)·         Mortgage financing also increased during the same period by 152.5%, recording EGP5.88 billion. ·         Leasing contracts recorded EGP7.03 billion pounds, growing by 196.4%·         Microfinance activity stood at EGP25.01 billion, growing by 40.01%·         Consumer finance activity reached EGP13.586 billion at the end of October 2021·         e-Cards, a subsidiary of EFIH, and MoneyFellows partner to provide digital financing solutions to pension and cash support beneficiaries·         e-Cards will provide smart cards for the distribution of fuel quotas to parties contracted with Misr Petroleum·         Electricity production stations increased its dependency on mazut by 620% YoY during December 2021 with positive impact on AMOC ·         PHDC (FV: EGP3.33, OW) is planning its sukuk issuance of EGP3.0 billion for 1Q22·         ELSH is co-developing its land plot in the New Administrative Capital, whereby ELSH will be entitled to a 36% revenue share as land owner·         TUI’s UK arm is seeing a rise in bookings to Egypt after the UK relaxed Covid testing requirements last weekWeekly Commodities Update·         Brent futures are trading at USD82.2/bbl·         The Egypt urea index was down WoW by 5% and prices are currently at USD845/ton,·         Polyethylene (HDPE) prices were down 1% WoW and prices are currently at USD1,230/ton·         Diesel-HSFO spreads were down 5% WoW and are at USD162/ton·         Caustic soda prices were unchanged WoW and prices are currently at USD590/ton·         Polypropylene prices came flat w/w, standing at USD1,150/MT·         Steel/Iron Ore spreads are at the USD395 mark, up by 1% WoW·         LME 3M Fwd Aluminum prices were up 2% WoW to record USD2,906/·         Thermal coal prices were unchanged WoW recording USD186/ton