Pre-Trading Thoughts

*Key news articles for today* In a bid to level the playing field between state and private entities, the cabinet approved several draft bills and amendments, including the elimination of tax exemptions granted to some state entities, extending incentives granted to private projects, and streamlining dispute resolution in economic and district courts.  Egyptian non-oil exports recorded a decline of 6.4% YoY in 1Q23, to reach USD8.8 billion, while non-oil imports declined 20.5% to USD17.1 billion. Accordingly, the non-oil trade deficit declined by 31.4% to USD 8.3 billion.  Suez Canal achieved revenues of USD 9.4 billion in FY22/23, +35% YoY.   Minister of International Cooperation said that the OPEC Fund for International Development has supported sustainable development efforts in Egypt with USD1.5 billion.  The Suez Canal Authority’s (SCA) Canal Company for Mooring and Lights (CCML) is set to sell a 20% stake in an IPO on the EGX.  EGX Head stated that consultations are underway with the Financial Supervisory Authority regarding the listing of startups, with fewer requirements in terms of disclosures and listing conditions.  EAST is abandoning plans to invest in heated tobacco production lines due to the shortage of foreign currency. CNFN is finalizing a securitization transaction worth EGP1.85 bn (divided into 3 tranches) after it obtained the FRA approval. Businessman Ahmed Abu Hashima bought about 5% of Beltone Financial Holding through subscription rights. MNHD launched its Elan project on 356k sqm of its Sarai land plot. Elan offers over 2,800 residential units at a BUA of 347k sqm and 9k sqm of commercial area. We remind you that EGTS’s next court date for the 20.0 million sqm third phase Sahl Hasheesh land plot lawsuit is, if not further postponed, on 24 June 2023.