Wednesday، 04 January 2017 - 03:36 PM
1- How liberalization of Egyptian pound exchange rate affected Egyptian Exchange
The Egyptian Exchange (EGX) indices have increased up to unprecedented levels after the decision taken in early November 2016 by the Central Bank of Egypt (CBE) on liberalization of the exchange rate of the Egyptian pound against the US dollar and other Arab and foreign currencies. Purchases of foreign investors have exceeded the volume of sales, the matter which is attributed to the availability of the US dollar with investors.
The general index of the Egyptian Exchange and the public subscription index have witnessed a significant increase in addition to the increase witnessed by the value and volume of trading and executed transactions.
2- Howe balances of foreign trade were affected
The Central Bank of Egypt (CBE) said that the balances of foreign trade operations, which were implemented after liberalization of the exchange rate of the Egyptian pound against the US dollar in the period from 3 November to 14 December, reached USD 9.7 billion. It added that an amount of USD 4.6 billion was used in repayment of documentary credits and collection documents, noting that documentary credits were opened with the value of USD 3.3 billion.
The year 2016 witnessed implementation of a number of new national projects in addition to the developments witnessed by several national projects that were implemented in the previous year.
1- 34 projects carried out by the Armed Forces Engineering Authority
On May 12, 2016, President Abdel-Fattah El-Sisi attended the inauguration of 34 new projects carried out by the Armed Forces Engineering Authority, ministries of housing, communications, youths and sports with total investments reaching EGP 16 billion.
The projects included water treatment and purification stations, social housing units, roads and bridges projects, a premises for the National Council for Women (NCW) in Nasr City, development of the Post Sector, Notary Public offices, social service centers, establishment of sport complexes and youth centers.
2- Bashayer El-Khair Project in Alexandria
President Abdel Fattah El Sisi attended on Monday 26/9/2016 witnessed the inauguration of a housing project in Gheit El Anab district of Alexandria. Worth up to 1.2 billion pounds, the "Bashayer El-Khair 1" project is part of a plan to upgrade shanty towns in the Mediterranean city of Alexandria with a total cost of nearly EGP 1.2 billion.
The project was established on an area reaching 12.3 feddans including a number of 17 housing buildings with a total number of 1632 housing units. It also includes an orphan house, nursery, notary public office, post office, 150-bed hospital, 812-square meters mosque, 58-store shopping mall, 47 industrial shops and a meeting room.
3- New Ismailia City
Celebrating the first anniversary of inauguration of the new Suez Canal, President Abdel Fattah El Sisi inaugurated the new Ismailia City, which was established on an area reaching 10 million square meters.
4- Housing Projects
* "Long Live Egypt" housing project in Asmarat:
President Abdel Fattah El Sisi inaugurated the first two phases of "Asmarat" low-cost housing project in Muqqattam district of Cairo.
Asmarat project was established on an area of 126 feddans with more than 10,980 housing units along with services utilities. It was set up through cooperation between the Ministry of Housing Informal Settlement Development Fund (ISDF) and the Ministry of Local Development and Long Live Egypt Fund at a total cost of EGP 1,582 billion.
* Social Housing Project
President Abdel Fattah Al Sisi decreed the increase of residential housing units in the first and second phase of the social housing program to 600,000 units to meet the citizens’ demand.
The first phase of the social housing project will create 256,000 units, to be delivered by the end of 2016. A total of 180,000 units has been completed so far.
The second phase of the social housing project will see 275,000 units completed in mid-2017, which would bring the total of first and second stages up to 531,000 units.
Sisi also instructed the Housing Minister to increase the number of middle-income housing units in Dar Misr project from 150.000 units up to 250.000 ones.
Social Housing Project Plan
5- Roads Network Development
Roads and bridges development projects from June 2014 to September 2016
Speaking about the national roads network, President Abdel Fattah Al Sisi said 5,000 km roads were accomplished along with 135 bridges - that will reach 150 bridges by the end of the year - at total investments of 80 billion pounds.
Sisi said this is meant to make the people's life easier, contribute to development and encouraging foreign investments.
Developments witnessed by implemented projects:
1- El-Galala City Project
President Abdel Fattah Al Sisi inspected El-Galala city on El-Galala Mountain in the Red Sea area to get posted on the work progress in the projects being carried out in the city located between Ain Sukhna and Zaafarana.
The new city would include a number of tourist projects, several hotels, services and medical projects, King Abdullah University, a new road linking Ain Sukhna to Zaafarana through El-Galala Mountain and a telpher binding the Red Sea coast and the mountainous area.
The area would also host a number of model housing communities suitable for the various social brackets.
The State expects that El-Galala city, scheduled to be finalized soon, would have positive impact both on investments and tourism.
2- 1.5-million-feddan project
President Sisi said the 1.5-million-feddan project is meant to set up a new agro-urban community. He added that 1,000 wells were dug and this is enough for cultivating 400,000 feddans.
Sisi said "We need 60 billion pounds to prepare 1.5 million feddans to be available for farmers and investors."
The President said the project will be totally completed in four years, adding that it is a giant national project that includes 4.5 million feddans.
Economic conferences & exhibitions hosted by Egypt in 2016
First: Conferences organized by Egypt
1- Finance, Investment conference in Egypt's Sharm
The international conference of Finance and Investment was hosted by Egypt's Red Sea resort of Sharm el-Sheikh.
The 3-day “Finance and Investment to Uphold Stability and Counter-terrorism” conference has been organized by Arab Banks Union, the Federation of Egyptian Banks, and sponsored by Governor of the Central Bank of Egypt (CBE), Tarek Amer.
The conference discussed the importance of financial inclusion in promoting financial and social stability, and supporting micro, small and medium-sized projects. In addition to this, the role of the CBE and bank federations in promoting financial knowledge and consumer protection was also discussed.
The conference tackled the role of financial inclusion in combating money laundering and financial terrorism. Moreover, it discussed the role of technological innovations in promoting financial stability and the wide distribution of financial services.
The conference was opened by Chairman of the Union of Arab Banks Mohamed Barakat, Banque Misr Chairman and FEB Board Member Mohamed El-Etreby, Deputy Governor of the CBE Tarek El-Kholy, and South Sinai Governor Khaled Fouda.
A number of leaders at Egyptian and Arab banks, as well as officials from local and international financial bodies, participated in the conference.
2- Egyptian-S. Korean Forum
The Egyptian-South Korean Business Forum kicked off in Cairo on Thursday 5/5/2016.
Organized by the Egyptian Businessmen Association and the Korea International Trade Association (KITA), the forum is held under the auspices of Egyptian Trade and Industry Minister Tarek Qabil and South Korean Trade Minister Joo Hyung-hwan.
A high-profile South Korean delegation comprising representatives of Hana Bank, the South Korean Federation of Small and Medium-Sized Enterprises and the Seoul International Women's Association participated in the forum.
The forum was attended by a number of well-known companies, notably Hyundai Cars, Samsung and SGS Construction.
USD-3-billion agreements were signed in the fields of renewable energy, electricity, drainage and water treatment projects.
3- "Giant National projects…Challenges and Future Vision" Conference
Second: Egypt's participation in foreign conferences
1- London conference for MENA investment
Egypt’s Minister of Finance Amr El-Garhy was among the top speakers of the sixth annual EFG Hermes London MENA and Frontier Conference that was held from 5-8 September in London.
The conference hosted 92 leading listed banks from the Middle East and North Africa, Sub-Saharan Africa, and Asia-entities that collectively own more than $8tr in aggregate assets under management (AUM), making this conference one of the largest investor conferences held in the United Kingdom.
A total of 270 investors from 155 institutions attended the conference.
2- International investment conference in South Africa
Within the framework of paying attention to the economic developments in the Egyptian market, a number of international financial institutions organized an international conference in South Africa.
Egypt, as the conference's guest of honor, was invited to explain the reforms adopted by the government as well as the loan agreement with the International Monetary Fund (IMF).
Ahmad Kajok, the Deputy Finance Minister for Financial Policies and Egypt's representative to the conference said he reviewed before the conference a working paper on the Egyptian government's plans and comprehensive economic reform program.
3- 7th meeting of Arab Finance Ministers Council in Bahrain
Egypt participated in the 7th meeting of the Arab Finance Ministers Council held in Manama (Bahrain).
The meetings discussed developing policies of economic diversification in the oil-exporting Arab countries in addition to means of enhancing the labor markets' flexibility in the Arab countries in order to face unemployment. They also tackled coordinating the Arab stances in dealing with the international financial institutions.