Year: 2022

  • CIB Launches Instant Payment Service to Support Digital Transformation Plans

    CIB Launches Instant Payment Service to Support Digital Transformation Plans

    In line with the Central Bank of Egypt’s (CBE) guidance on supporting digital transformation and facilitating digital payments, the Commercial International Bank (CIB) has launched Instant Payment service through its digital channels, including Internet Banking and Mobile Banking, as well as the Egyptian Banks Company’s InstaPay application. By June 2022, the total value of payments through the app reached nearly EGP 2.6 billion and the number of transactions increased by 500%. The number of subscribers to the service also increased by 286%.

    The Instant Payment Network (IPN) is considered a new payment network with the ability to instantly send and receive funds between member banks all day long using an enhanced experience and transfer funds between different account types, Meeza cards and mobile wallets.

    “The IPN is a unique model that will strongly support CIB’s efforts to accelerate digital transformation and change consumers’ behavior to be more responsive to changes, which is a primary objective,” said Mr. Mohamed Farag, CIB’s Deputy Chief Operations Officer. “The IPN seeks not only to provide a payment network but also offer a new experience that meets customer needs and opens the door to creativity and innovation, aiming to maximize customer benefits,” he added.

    CIB has also launched the latest generation of ATMs, providing customers with an all-new banking experience, in line with the Bank’s strategy of bringing to the market innovative solutions that elevate customers’ experience to new levels of excellence.
    The upgraded ATMs feature a touch screen displaying icon-shaped menus that enable users to view and navigate every icon on the screen. With this new feature, ATMs offer a seamless banking experience with easy-to-use functions and options, similar to smartphones, and help reduce the time needed to complete transactions. The ATMs can be integrated within the Bank’s systems easily due to their fast programmable nature.
    The Bank also launched the International Bank Account Number (IBAN) across CIB’s upgraded ATMs, enabling customers to obtain and print the IBAN through ATMs.
    This initiative reflects CIB’s firm commitment to investing in modern technologies that contribute to enhancing customer experience and enable customers to conduct their banking transactions 24/7 with ease.

    “This development is part of the Bank’s commitment to offering innovative technologies across all digital channels. It reaffirms our commitment to introducing the latest solutions and technologies in banking services to support customers and provide them with a fast top-quality experience, in line with the CBE’s vision for achieving financial inclusion,” said Mr. Farag.
    CIB is one of the first proponents of migrating banking services to digital channels through the digital transformation program, “Bank of the Future,” which achieved outstanding results during the first half of 2022. This is in line with the Egyptian government’s efforts to drive digital transformation, aiming to improve customer experience and service quality as well as enhance efficiency and effectiveness.
    CIB has witnessed a huge surge of 72% in the number of digital banking transactions performed through Mobile Banking by June 2022. The value of transactions reached EGP 100 billion, increasing by 83%. By June 2022, the value of transactions performed through digital channels reached EGP 537 billion, which is 48% higher compared to the first half of 2021.

    By June 2022, the number of individual customers subscribed to Internet Banking also increased by 26% compared to the first half of the previous year. The value of ATM transactions performed also increased by 24%.
    CIB’s Business Online services have also witnessed a major leap with customers depending completely on these channels as alternatives to cash transactions and paperwork. The percentage of transactions performed through CIB Business Online and EG-ACH increased by 36% to reach EGP 317 billion, which is 51% higher compared to the first half of 2021. By June 2022, the number of subscribers also increased by 60% compared to the first half of the previous year.
    Following the nation’s strategy to automate government payments, the Bank has successfully expanded its customer base for governmental e-payments for corporations through its Corporate Payment System (CPS), achieving a 30% increase in the number of transactions by June 2022. The value of transactions exceeded EGP 15.7 billion, which is 47% higher compared to the first half of 2021. The CBE’s recent decisions are key to the digital transformation of banking services, reducing pressure on the bank’s branches and reducing reliance on cash. These decisions include exempting individuals from bank transfer fees and commissions that are carried out in EGP through digital channels, such as Mobile Banking and Internet Banking, and IPN applications.

  • Central Bank of Egypt Governor resigns

    Central Bank of Egypt Governor resigns

    Tarek Amer, Governor of the Central Bank of Egypt has submitted his resignation, and it was accepted by President Abdel Fattah Al-Sisi on Wednesday.

    Until the time of print there was no announcement of a replacement for Amer, who has also been appointed as a presidential adviser.

    Amer, who was appointed as CBE governor in November 2015, was expected to end his term in November 2023.

    The new CBE governor will face a lot of difficult challenges, on top of which is good coordination between the fiscal and monetary policies, the exchange and interest rates, and controlling inflation.

    These files also include negotiating with the International Monetary Fund over financial reforms, and solving importation problems, meeting the needs of production requirements, maintaining and increasing foreign exchange reserves, and fulfilling external obligations.

    Hassan Abdalla
    Hassan Abdalla

    Several names are expected to be nominated to succeed Amer, most prominent of which is United Media Services Chairperson Hassan Abdalla, National Bank of Egypt Chairperson Hisham Okasha, Planning Minister Hala El Said, and International Cooperation Minister Rania Al Mashat.

    Sources close to the matter have informed Daily News Egypt that Abdalla is the frontrunner to succeed Amer.

    Abdalla was the president of the United Media Services, and before that he was the CEO and Vice President of the Arab African International Bank (AAIB).

    NBE Chairperson Hisham Okasha
    Hisham Okasha

    Abdalla, born in August 1960, has a Bachelor of Business Administration from the American University in 1982, and a Master of Business Administration in 1992 from the same university.

    He started his career at the AAIB in 1982, the first multinational bank in Egypt, and worked in several sectors, including money and futures markets.

    Abdalla has served as board member of several entities, including the Institute of International Finance, the Emerging Markets Advisory Council (EMAC), the Central Bank of Egypt, the Egyptian Exchange, Ghabbour Auto, Coca-Cola, Endeavor Egypt, Telecom Egypt, and Orascom Construction.

    Meanwhile, Okasha is the Chairperson of the country’s largest public lender, the National Bank of Egypt (NBE).

    Hala Al-Said

    Okasha, has  joined NBE as deputy chairperson responsible for the risk, operations, compliance, and audit functions in April 2008. Okasha’s banking career spans over 26 years.

    Hala Helmy El-Said was appointed as Minister of Planning and Economic Development. She is also the Chairperson of the Sovereign Fund of Egypt (TSFE).

    El-Said grew up entrenched in politics. Her father, Helmy El-Said, was appointed Minister of Electricity and the High Dam in 1970. In 2019, she was selected as chairperson of TSFE, in addition to her appointment as Minister of Planning in 2017.

    Before resuming the responsibilities of her office, El-Said was the first elected Dean of Faculty of Economics & Political Science at Cairo University. She was also an assistant to Cairo University President for Research and External Relations and a member of the board of the Central Bank of Egypt (CBE).

    Rania Al-Mashat

    Rania Al Mashat is Egypt’s Minister of International Cooperation since December 2019, and previously served as the country’s first female Minister of Tourism. Prior to that, she was Advisor to the Chief Economist of the International Monetary Fund (IMF) in Washington DC. She specialised in central banking issues and designing monetary policy frameworks.

    Her other former roles include serving as Sub-Governor for Monetary Policy at the Central Bank of Egypt, Senior Economist at the IMF, Deputy Project Director for the Institutional Reform and Informal Sector Centre at the University of Maryland, College Park, USA, and Adjunct Professor of Economics at the American University in Cairo (AUC).

  • FRA adopts new rules for settlement of corporate bonds registered in same trading session

    FRA adopts new rules for settlement of corporate bonds registered in same trading session

    Mohamed Farid, Chairperson of the Financial Regulatory Authority (FRA), has approved the executive rules submitted by the Misr for Central Clearing, Depository and Registry (MCDR), after coordination with the Egyptian Exchange (EGX), to settle the operations executed on corporate bonds listed on the EGX in the same trading session.

    The step comes in response to the demands of investment bank officials and asset management companies in the Egyptian capital market, with the aim of activating the secondary market for corporate bonds and providing an incentive to deal on bonds listed on the Egyptian Exchange.

    In the preamble of the approved executive rules, the clearing and settlement process for the operations that take place on corporate bonds listed on the EGX shall be carried out starting from the same trading day (T+0) when the cash balance in the account designated for that and the paper balance of the two parties to the transaction are available.

    Farid clarified that the MCDR will receive trading operations in the same “Intra Day” session that take place on these bonds immediately after their implementation and in the same way as receiving operations that take place on shares allowed to be traded in the same session, bearing in mind that the settlement process for cash differences resulting from selling operations will take place all or part of what was purchased in the same session on bonds with the same controls in force for shares allowed to be traded in the same session.

    Farid stressed that the brokerage companies, on the same day of implementation, verify that there is a cash balance in the account designated for that at the clearing bank sufficient to settle purchases, so that the entire purchase value is deducted from the cash balance available in the clearing bank, and in the event of selling again, the sale value is added to the same account.

    He added that in the event that the brokerage company wants to sell all or part of what was purchased in the same session, the seller’s custodian must be notified of the process (the original sale process) to approve and send it so that it is allowed to seize from the balances of what was purchased in the same session (the sale system from today’s purchase).

    Farid explained that the decision aims to eliminate the cost of interim financing for the period between trading and settlement, and then reduce the cost of trading on bonds.

    The rules were issued in light of the issuance of the approval of the Board of Directors of the Authority by Resolution No. (82) of 2021 regarding the regulation of dealing on the bonds of companies listed on the Egyptian Exchange in the same “Intra Day” session, as well as the issuance of the approval of the Board of Directors of the Egyptian Stock Exchange in March 2021 to allow dealing in the same trading session on listed corporate bonds.

  • Egypt simplifies business procedures to stimulate investment: Finance Minister

    Egypt simplifies business procedures to stimulate investment: Finance Minister

    Mohamed Maait, Minister of Finance, affirmed his keenness to listen to investors, conduct an open dialogue about the tax and customs challenges, and work to overcome any obstacles, in a manner consistent with efforts to simplify procedures aimed at stimulating the business climate and attracting more investments and supporting the private sector so as to play a greater role in the development process of the country.

    Maait said, during his meeting with Ahmed El Sewedy, Chairperson of Elsewedy Electric, and his accompanying delegation, that the ministry supports any legislation that contributes to encouraging industry, agriculture, and export; promoting economic growth; and providing more job opportunities. He directed the relevant officials of the Tax Authority to study several proposals to facilitate tax refund procedures, in a way that helps in providing sufficient cash to continue production, in light of the provisions of tax laws.

    The Minister of Finance explained that in response to the desire of the business community, there will be a draft law soon to amend some provisions of the Comprehensive Health Insurance Law, to deduct the Takaful contribution for comprehensive health insurance from the tax base, and to give the Cabinet the authority to consider exempting some revenues from being subject to the Takaful contribution to health insurance in accordance with the requirements of stimulating economic activity. He directed the competent officials of the Tax Authority to study the executive mechanisms to ensure that the Takaful contribution to the comprehensive health insurance is not deducted for the same product more than once, taking into account the multiplicity of companies of the same group producing the commodity.

  • Parliament’s Industry Committee meets new Industry Minister

    Parliament’s Industry Committee meets new Industry Minister

    Minister of Trade and Industry Ahmed Samir met with members of the Parliament’s Industry Committee and stressed the importance of achieving integration between the legislative and executive authorities.

    He said that integration will contribute to the implementation of the objectives of the state’s plan to achieve comprehensive and sustainable economic development, pointing to the ministry’s keenness on permanent cooperation with parliaments due to its main role in issuing legislation and approving laws supporting the national economy.


    This came during the expanded meeting held by the Minister with members of the Industry Committee in the House of Representatives headed by Moataz Mahmoud and deputy chair of the House of Representatives’ industry committee Mohamed El Sallab. The meeting reviewed the important role of the Committee in supporting the national industry and the most important challenges facing the industrial sector during the current period.

    “We exchanged discussion about the problems and challenges of the industrial system and our great aspirations with his assumption of responsibility,” MP Elsallab said.


    He added that the meeting included expressing great hopes and aspirations for the industry sector during the coming period and working to overcome the problems and challenges of the past.
    “We all hope and trust in the Minister’s ability to achieve it with parliamentary government cooperation in the interest of the citizen and the country,” Elsallab added.

  • Newly appointed Trade Minister prioritises improving competitiveness of Egyptian product, deepening local manufacture

    Newly appointed Trade Minister prioritises improving competitiveness of Egyptian product, deepening local manufacture

    Newly appointed Minister of Trade and Industry Ahmed Samir expressed his keenness to advance industry and foreign trade sectors and to move forward with all files managed by the ministry in a way that benefits the national economy.

    He said that the ministry will work in full swing in order to restore the status of Egyptian products, developing existing industries and attracting investments to implement new industrial projects, with a focus on meeting the needs of the local market.

    Samir added: “There are some files that will top the ministry’s priorities in the coming period, foremost of which is deepening local manufacturing, increasing proportions of local components in final products, providing raw materials and production requirements to drive production, encouraging the use of modern technologies.”

    He pointed out that the current industrial policy will be evaluated, economic legislations will be discussed and reviewed as well as decisive decisions will be made with the aim of raising the competitiveness of industrial sectors, especially those sectors in which Egypt has competitive advantages. Besides, increasing export rates and opening more markets for Egyptian products to achieve goals of the Egyptian state to bring exports to $100bn annually.

    The minister noted the international changes that the world is currently witnessing due to COVID-19 pandemic and the Russian-Ukrainian crisis, and the resulting economic repercussions that affected countries of the whole world, including Egypt. This imposed many challenges that required continuous diligent work with a strong will to strengthen the Egyptian economy system and provide required flexibility to confront any crises that may arise in the future.

    The coming period will witness more coordination and communication with business community, including producers, exporters and importers, to set features of the next stage, and to emphasise objectives of the ministry’s action plan, especially since they represent key partners in setting and implementing Egypt’s vision represented by the Ministry of Trade and Industry to advance manufacturing and export sectors, Samir concluded.

  • Egypt, Canada emphasise ‘NWFE’ programme as key enabler for climate action

    Egypt, Canada emphasise ‘NWFE’ programme as key enabler for climate action

    Egypt’s Minister of International Cooperation Rania Al-Mashat received Harjit S. Sajjan, Canada’s Minister of International Development, in Cairo on Tuesday.

    The Canadian official was accompanied by Christopher MacLennan, Assistant Deputy Minister at Global Affairs Canada, and Louis Dumas, Ambassador of Canada to Egypt. Sherihan Bekhiet, Deputy Minister of International Cooperation to oversee cooperation with the Americas and Europe, also attended the meeting.

    Al-Mashat expressed deep appreciation for the strong partnership that exists between the governments of Canada and Egypt, which is grounded in common values and goals, as well as mutual respect and trust. The Minister also invited Canada’s Minister of International Development to attend the second edition of the Egypt-International Cooperation Forum, which will take place on September 7-9 at the New Administrative Capital and will also include the participation of ministers of environment and finance from Africa to bolster climate action and unify the African voice on adaptation finance ahead of the climate conference COP27.

    She added that the Ministry of International Cooperation is making strenuous efforts to coordinate all development actors’ actions through multi-stakeholder platforms on matters related to food security in order to mobilize blended financing through the wide scale participation of the private sector. This year’s Multi-Stakeholder Platform (MSP) with the Development Partners Groups (DPG) witnessed the launch of the NWFE Program (Nexus of Water, Food, and Energy), which discussed the list of prepared projects covering the water-food-energy nexus, in light of Egypt’s COP27 presidency.

    The meeting also discussed the ongoing projects between the two sides in empowering women and catalyzing gender-smart finance. The Ministry of International Cooperation with the National Council for Women, World Economic Forum and the Private Sector, launched the “Closing the Gender Gap Accelerator” action plan. Egypt is the first country in Africa, Middle East and North Africa to launch this public – private collaboration model supported by the World Economic Forum. The ongoing portfolio of the Ministry of International Cooperation includes about 34 projects related to gender equality worth a total of $3.3bn.

    For his part, Hargit Sagan, Canada’s Minister of International Development, underscored the strong partnership between Canada and Egypt, and expressed keenness to implement more programs to accelerate progress on sustainable development.

    For more than four decades, Canada has provided development finance of about CAD 1.2bn to combat poverty, enhance equality in access to educational opportunities, strengthen the process of technical support and build capacity in the areas of entrepreneurship and small and medium-sized enterprises to promote economic growth and sustainable development.

  • Electricity Ministry targets EGP 500m monthly in EV charging fees

    Electricity Ministry targets EGP 500m monthly in EV charging fees

    The Ministry of Electricity aims to collect EGP 500m per month from charging electric vehicles (cars, buses, and trains), within the government’s direction to reduce carbon dioxide emissions and preserve the environment, according to an official at the Egyptian Electricity Holding Company.

    It is expected that these targets will be achieved by two mechanisms: the first is selling electricity to the private sector – the owners of electric vehicle charging units – and getting paid in advance. The second mechanism is to sell electricity directly to EVs, according to an official.

    Some power distribution companies have installed EV charging units in cooperation with Infinity E.

    The government seeks to operate all transport means in Sharm El-Sheikh on electricity before the climate summit COP27 next November, and it is planned to operate light trains with electric LRT before the end of the year. The speed of a light train is 120 km per hour, and the railway extends at a length of 103.3 km, and it consists of 19 stations.

    Hafez Salmawy, the former head of the Electricity Utility and Consumer Protection Regulatory Agency, believes that the intended proceeds to be collected from charging electric means of transportation may need more time, especially since the current value of charging electric transportation is about EGP 2m.

    The spread of electric cars, buses, and trains contributes to increasing the Ministry of Electricity’s revenues, which is the approach that the ministry is keen on to exploit the surplus production and maximize its revenues, according to Salmawy.

    The government announced the selling price of electricity to charge transportation for a year, and published the decision in the Official Gazette.

    The selling prices of electricity for charging electric cars for electric bus charging stations were set at about 100 piasters per kilowatt hour in the case of feeding the charging station on medium voltage, and about 121.3 piasters per kilowatt hour in the case of feeding the charging station on low voltage.

    As for the home charging of electric cars, it will be set at the same price specified for domestic consumption by decision of the Minister of Electricity and Renewable Energy No. 100 of 2020.

    With regard to commercial charging stations from medium voltage distribution companies, with a price set for the rest of the medium voltage subscribers, by decision of the Minister of Electricity and Renewable Energy No. 100 of 2020.

    In the case of feeding the commercial charging station from the distribution companies on low voltage, the tariff for charging with alternating current is 22 kilowatts for the charger in the places where the company is exempted from paying for the use of the place “the land belongs to it.” You will get the price of supplying electricity from the distribution companies at a value of 121.3 piasters per kilowatt-hours, and the service fee is set at 47.7 piasters per kilowatt-hour, and the average charging tariff price is 169 piasters.

    The tariff for AC charging was estimated at 22 kilowatts for the charger in the places where the company is designated for use for a fee. The price of charging electricity from the distribution companies to the station owner is about 121.3 piasters per kilowatt, and in return for providing the service is 67.7 piasters per kilowatt-hour. The charging tariff for the car is estimated at 189 piasters per kilowatt-hour.

    With regard to the 50-kilowatt DC charging tariff, the price of supplying electricity from distribution companies to station owners is about 121.3 piasters per kilowatt-hour, and in return for providing the service is 253.7 piasters per kilowatt-hour, bringing the car charging tariff to 375 piasters per kilowatt-hour.

  • Expedition Investments submit offer to acquire 34% of Domty’s shares

    Expedition Investments submit offer to acquire 34% of Domty’s shares

    The Financial Regulatory Authority (FRA) has agreed to publish an advertisement for a mandatory purchase offer submitted by Expedition Investments to purchase up to 96.18m shares — or 34% — of Arab Food Industries (Domty) at EGP 5 per share.

    The purchase is expected to complement the shares Expedition Investments already owns in Domty, raising its stake in the company to 90%.

    The FRA obligated the offeror to buy all the shares offered for sale in response to the purchase offer, bearing in mind that if the shares offered for sale exceed the number of shares required to be purchased, the offeror will purchase from all share owners who responded to the offer in the ratio of the sum of what was offered.

    The FRA noted that its approval to publish the offer is not a dependence on the commercial and investment feasibility of the purchase offer or any concluded procedures, agreements, or decisions to be taken by the offeror, and the authority does not interfere in determining the price of the purchase offer.

    Furthermore, informed sources told Daily News Egypt that Expedition Investments is a company established according to the laws of the State of Mauritius that is owned by a number of Egyptian, Saudi, and Emirati investors, and its purpose is to acquire a 34% stake in Domty — one of the largest players in the Egyptian cheese sector — which controls a share exceeding 43% of the cheese production market.

    The sources also indicated that 90% of the target share of the offer includes a contribution from Al-Damaty after the acquisition, which will rise to more than the current 56% by a small amount of Domty’s capital indirectly through Expedition, while 10% of the company will remain as free-trading shares to ensure the continuation of the company’s listing on the Egyptian Exchange.

    The sources expect that the deal will be concluded by the end of next August, and that the Egyptian market would soon witness great activity in terms of mergers and acquisitions.

    Domty turned a profit of EGP 111.1m in the first half (1H) of 2022, compared to 1H 2021’s net loss of EGP 32.6m.

    The company’s sales also increased to EGP 2.27bn, up from EGP 1.32bn.

  • MNHD’s general assembly rejects UAE’s Al-Dar’s offer

    MNHD’s general assembly rejects UAE’s Al-Dar’s offer

    Informed sources told Daily News Egypt that the general assembly of Madinet Nasr for Housing and Development (MNHD) refused to allow SODIC — which is affiliated with the Emirati Al-Dar — to conduct due diligence on the company due to the low price of its land.

    The sources added that the quorum of the Ordinary General Assembly was completed in the presence of 56% of the company’s shareholders and was held on Tuesday, adding that 99.69% of the shares present at the General Assembly refused to allow the Emirati company — represented by SODIC — to conduct the due diligence.

    MNHD’s Board of Directors decided earlier to reject the offer submitted by Al-Dar through its subsidiary SODIC to acquire up to 100% of its shares at a maximum price of EGP 3.4 per share.

    At the time, the board refused to consider the deal on the grounds that it was far below the true value of the company’s shares, saying that in the event of a price review, the due diligence procedure may be approved.