Dear followers everywhere, welcome and a new analysis of the most important reports and analyzes presented by the Banker Research Unit throughout the day, Tuesday.
Today, Banker platforms presented a number of important reports on economic affairs…and the beginning was with a report on an important development in Egyptian banks.
The report highlighted the decision of the international credit rating agency Fitch to raise the credit rating of four major Egyptian banks: the National Bank of Egypt, the Bank of Egypt, the Bank of Cairo, and the Commercial International Bank – Egypt. The rating of the four rose from “B-” to “B.” This simply means that the world’s confidence in the ability of Egyptian banks to face challenges has increased and that the economic situation has remained more stable
Banker explained the reasons for the agency’s recent decision, the most important of which is increasing liquidity in foreign currencies… and that the Egyptian government was able to provide greater dollar liquidity through a group of agreements, such as the Ras Al-Hikma agreement, in addition to the support package from the International Monetary Fund… This means that the banks remain in a better position to deal with… The market needs for hard currency, in addition to the state of economic stability and strong growth..
The report pointed out that raising the rating has a direct and indirect impact on the Egyptian economy and our lives… and of course an increase in international confidence… because when Egyptian banks’ ratings improve, foreign investors feel that dealing with the Egyptian market is safer, and this means new investments and more job opportunities.
The Banker Research Unit submitted another important report on the fate of the upcoming central bank meeting
The report said that the Central Bank of Egypt withdrew 792 billion pounds this week from 26 banks. This number is not the first time it has occurred. Last week, more than 1.3 trillion pounds were also withdrawn.
Banker explained that the central bank is trying to control the liquidity in the market because when there is a lot of money available, people spend more, and prices rise, and this increases inflation. The bank here does the opposite, reducing the money that runs in the market in order to calm the rise in prices and maintain the stability of the economy.
According to the research unit, the Monetary Policy Committee meeting next Thursday will be the focus of everyone’s attention regarding the fate of the interest rate in light of the recent inflation indicators.
Banker platforms presented a special report today on a serious development in the automotive industry sector
The report said that history will record for President Sisi that he is the first president to have a plan, a goal, and an ambition in the industrial sector in its broad sense. This means that Egypt will be a strong industrial country in all fields, starting from the needle to the missile, as they say, and the size of the industry itself will be huge and there is a great abundance of exports.
The report pointed out that Egypt has entered the field of advanced and large-scale manufacturing in order to achieve the goals we mentioned, the first of which is to possess the technology with which it will be manufactured and compete with international products. This is literally embodied now in the automobile industry.
The report pointed out that Egypt began manufacturing car spare parts, such as braids and car tires, and started with the giant Pyramids factory in Port Said. The latest developments in this important file were what was announced today by the Ministry of Public Business Sector regarding its negotiations with an Italian company to produce car tires in partnership with one of the factories affiliated with the Ministry.
The ministry said that the new project aims to produce one million tires in the first phase, and pump investments totaling 500 million dollars. Of course, this is a huge number and is equivalent to 24 billion and 725 million Egyptian pounds.
The last report presented by Banker platforms today was regarding Egyptian-Saudi cooperation.
The report said that the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz Al Saud, approved the minutes of the formation of the Saudi-Egyptian Supreme Coordination Council, and this means that the relationship has entered the stage of actual cooperation through the new council, which after the decision and approval will begin to work officially to implement the mission for which it is working, which is exploitation. The economic capabilities of the two countries in enhancing joint cooperation will be the beginning of Saudi money entering Egyptian markets and the implementation of giant projects.
The report pointed out that President Abdel Fattah El-Sisi received, on October 15, Prince Mohammed bin Salman bin Abdulaziz Al Saud, the Saudi Crown Prince and Prime Minister. The ongoing efforts to develop the Egyptian-Saudi economic partnership were reviewed, especially in the field of investment and trade exchange between the two countries, and economic integration in the areas of Energy, transportation, and tourism are the most important sectors of the Egyptian economy, by the way, and there is great Saudi interest in pumping money and investments into them, and we will see the announcement of huge projects in the coming period.
Banker pointed out that the volume of cumulative Saudi investments in Egypt has reached $50 billion so far, including 7,000 projects in the construction, manufacturing, tourism, and energy sectors. This is according to statements by Muhammad Ali Pasha, Plenipotentiary Minister of Commerce and the Egyptian Commercial Consul in Riyadh, who revealed the increase in the number of Egyptian companies in Saudi Arabia. To 3 thousand companies during 2023.
