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Zawya
30-04-2025
- Business
- Zawya
Egypt to issue improved mining investment law
Egypt is on the verge of issuing a new mining law that includes better incentives for foreign investors in a bid to boost the sector's contribution to the economy by 12 times, the Petroleum and Mineral Resources Minister has revealed. Karim Badawi told Egypt's parliament on Monday that the mining sector currently contributes just around 0.5 percent to gross national product (GNP) and the target is to expand that share to six percent by the end of Vision 2030. In his comments, published by Al-Ahram newspaper and other local publications on Tuesday, Badawi disclosed that global consultancy firms have helped Cairo in devising a new mining investment law with the aim of wooing in capital to attain that target. 'We are in the process of issuing the new law, which illustrates efforts to improve the investment atmosphere and create a strong framework that will serve the interests of all parties concerned,' the Minister said. 'The new law will include an integrated strategy for mining surveys, exploration and geological assessments besides the preparation of new mining maps.' Egypt, locked in IMF-recommended reforms, stepped up its mining investment drive in 2024 with the creation of a landmark mining portal. The portal includes maps and data for investors seeking to embark on minerals projects in the third largest Arab economy after Saudi Arabia and the UAE. 'This platform is designed facilitate investment opportunities for those interested in setting up minerals project in Egypt…it will also promote the country's mining sector abroad and provide information on mining project bids…technical evaluation of the new portal has been completed and it will be launched soon,' the Petroleum and Mineral Resources Ministry said last year. It said the platform will cover 27 metals, including gold, zinc and iron, adding that Egypt is rapidly becoming a key metal producer and exporter. In 2023, metal production stood at around 13 million tonnes and exports exceeded 2.3 million tonnes, it added. (Writing by Nadim Kawach; Editing by Anoop Menon) (
Zawya
07-04-2025
- Business
- Zawya
Egypt approves $1.5bln for industrial, tourism projects
Egypt has approved a package of 78 billion Egyptian pounds ($1.5 billion) to support industries and tourism in its 2025-2026 budget which projects 18 percent rise in spending. The funds cover mainly productive and export-oriented industrial projects and those which aim to attract more tourists to the most populous Arab nation. 'The 2025-2026 budget supports the government's efforts to make the economy more competitive by expanding industries and domestic output, spurring investment and enabling the private sector so it will play a greater role in economic activity and become the wheel of growth and development,' Finance Minister Ahmed Kouchouk said. He said the package set for this purpose includes around EGP 8.3 billion ($162 million) for the development of the tourism sector, EGP 5 billion ($97 million) for 'priority' industries and EGP 3 billion ($58 million) for a project to convert taxis and other vehicles to operate on natural gas. The package also includes up to EGP 5 billion ($97 million) for incentives to small and medium enterprises, the Minister said, quoted by Alahram and other local dailies. Egypt's cabinet last week approved an EGP 4.6 trillion ($90 billion) draft state budget for the 2025/26 financial year that will begin in July. Expenditures will rise by 18 percent and revenue by 19 percent over the current 2024/25 budget. Revenue is expected at around EGP3.1 trillion ($60 billion). Egypt said last year it would slash public investment to encourage the local private sector to embark on more projects as part of IMF-recommended reforms. The initiative includes a ceiling on public investments of EGP 1 trillion ($19.5 billion) during fiscal year 2024-2025. In the first quarter of the current fiscal year, private capital accounted for nearly 64 percent of the total investments, Planning, Economic Development and International Cooperation Minister Rania Al-Mashat said. 'This demonstrates the growing role the private sector plays in the also shows that the restrictions on public investments has given a bigger space to the private sector to shoulder its responsibilities in domestic development,' she said. (1 US Dollar = 51.39 Egyptian pounds) (Writing by Nadim Kawach; Editing by Anoop Menon) (
Express Tribune
01-03-2025
- Business
- Express Tribune
PSX in consolidation phase, loses 533 points
Listen to article Pakistan Stock Exchange (PSX) on Friday registered a notable downturn of over 500 points because of market consolidation and concerns over an increase in inflation. Investors reacted negatively to the disappointing earnings of energy companies including Oil and Gas Development Company (OGDC) and Pakistan Petroleum Limited (PPL). Additionally, uncertainty surrounding the tax reforms and budget proposals ahead of the International Monetary Fund (IMF) review contributed to the decline. Although the day witnessed a positive opening in the backdrop of strong earnings of AGP Limited, the market succumbed to selling pressure in latter hours. Ahsan Mehanti of Arif Habib Corp commented that stocks closed under pressure amid consolidation near the end of earnings season and government projections of a spike in inflation next month. He added that dismal earnings of PPL and OGDC, concerns about the IMF-recommended corporate and provincial tax reforms and budget proposals played the role of catalysts in bearish close at the PSX. At the end of trading, the benchmark KSE-100 index recorded a decrease of 532.64 points, or 0.47%, and settled at 113,251.67. In its review, Topline Securities commented that the KSE-100 index opened on a positive note and rose to the intra-day high of 482 points, which could be attributed to AGP Limited's result announcement in the pre-opening session, which set a positive tone in the market. AGP posted 4QCY24 earnings per share (EPS) of Rs4.27, up 73% quarter-on-quarter and 101% year-on-year, taking CY24 EPS to Rs9.53, up 70.50%. It also declared a final cash dividend of Rs4 per share. However, during the latter hours, trade pressure emerged as the index dipped to close at 113,252, down 0.47%, it said. Top negative contributors were Engro Holdings, Fauji Fertiliser Company, Systems Limited, Mari Petroleum, Engro Fertilisers and The Searle Company, which wiped off 521 points from the index. Among other corporate results, Indus Motor posted 2QFY25 EPS of Rs61.92, down 4% quarter-on-quarter and up 179% year-on-year, taking 1HFY25 EPS to Rs126.69, up 101% year-on-year. The result was accompanied by an interim dividend of Rs37 per share. Additionally, PPL declared 2QFY25 EPS of Rs10.02, up 20% quarter-on-quarter and down 32% year-on-year, which pushed 1HFY25 EPS to Rs18.71, down 26% year-on-year. The company announced an interim cash dividend of Rs2 per share. OGDC posted 2QFY25 EPS of Rs9.63, down 44% year-on-year but up 1% quarter-on-quarter, which took 1HFY25 EPS to Rs19.17, down 33% year-on-year. The company announced an interim dividend of Rs4.05 per share, Topline said. Ali Najib of Insight Securities commented that the PSX observed a mixed behaviour as KSE-100 continued its consolidation phase. A positive opening was seen with investors strengthening their positions. The index again tried to penetrate the 114k territory by hitting the intra-day high at 114,266 (+482 points), he noted. However, the benchmark index continued to face tough resistance at 114k, making it a hard nut to crack. It could not withstand profit-taking pressure and lost the 114k level by closing below it, Najib added. JS Global analyst Muhammad Hasan Ather said that the market faced selling pressure in the energy sector, with stocks like Mari Petroleum, Pakistan Oilfields and PPL trading in the red. Despite buying interest in the banking sector, investors remained cautious due to concerns over inflation and global economic uncertainties, he said. Overall trading volumes increased to 472.1 million shares compared with Thursday's tally of 397.4 million. Shares of 444 companies were traded. Of these, 119 stocks closed higher, 263 fell and 62 remained unchanged. The value of shares traded during the day was Rs22.8 billion. Pakistan International Bulk Terminal was the volume leader with trading in 52.2 million shares, gaining Rs0.66 to close at Rs9.6. It was followed by WorldCall Telecom with 43.5 million shares, falling Rs0.04 to close at Rs1.41 and National Bank of Pakistan with 28.3 million shares, gaining Rs3.77 to close at Rs80.01. During the day, foreign investors sold shares worth Rs836.6 million, the NCCPL reported.
