Pre-Trading Thoughts

Net foreign liabilities (NFL) at Egyptian banks recorded USD7 billion as of November 2021Suez Canal Economic Zone investments exceeded USD10 billion in 2021Volume of soft development loans that were agreed upon during 2021 are about USD10.2 billionEgypt is considering issuing bonds in Japan as part of plans to issue various medium and long-term government bondsFRA: EGX will witness an initial offering of one of the food companies and companies owned by the National Service Authority in 2022ORAS announced that it has added USD785 million of new awards to its backlog in 4Q2021; brings total new awards to USD3.5 billion in FY2021, marking a 22% increase YoYMFPC submitted to the EGX the documents required to add new activities to its core operations, for the new Melamine project RMDA begun the commercial production of “Molupiravir Rameda”, the generic form of the oral antiviral medicine; RMDA is currently trading at 2022f P/E of 14.2x and EV/EBITDA of 8.8xFRA approved EFIH’s Employee Stock Ownership Plan. During 2022, the company plans an ESOP of 1% of current total shares, where the employee bares 40% of the total cost and the company bares 60% of the total costMobile-phones sales in Egypt recorded a growth of 12% YoY in 11M2021 to stand at 15 million devices OCDI AGM approved the appointment of the new Board of Directors.The FRA’s prosecution on SPMD’s conflicting disclosures reserved on 21 FebruaryWeekly Commodity UpdateBrent futures are trading at USD86.0/bbl and averaged USD82.4/bbl YTD.The Egypt urea index was unchanged WoW and prices are currently at USD845/tonPolyethylene (HDPE) prices were down 1% WoW to USD1,220/tonDiesel-HSFO spreads were up 10% WoW and are at USD191/tonCaustic soda prices were unchanged WoW and prices are currently at USD590/tonSteel/Iron Ore spreads are at the USD413 mark, down by 1% WoWAluminum prices were up 2% WoW to record USD2,977/tonRetail cement prices in Egypt are stable at EGP1,000 -1,100 per tonThermal coal prices were unchanged WoW recording USD219/ton