EGX 30: 11,017 (+3.7%) weekly change, (-21.1%) YTD
Traded Value 1W Avg: EGP 675M , (+14.5%) above 90D Avg.
EGP:USD: 15.64 (-0.4%) weekly change
Egypt’s Central Bank cuts interest rates by 0.5%
The Central Bank of Egypt’s (CBE) Monetary Policy Committee has decided on Thursday to cut the overnight deposit rate, overnight lending rate by 0.5% (check word of the week) to reach 8.25%, 9.25%, respectively. The new cut brings the total cuts in 2020 to 4% after a 3% cut in March and 0.5% cut in September.
Ibnsina Pharma acquires 75% stake in “3elagi” app
As part of the Ibnsinai’s digital transformation plan, the company acquired a 75% stake in “3elagi Tech” one of the fastest growing application that links pharmacies with patients willing to order medicines and cosmetics online. The app has 600k users, and plans to use the EGP 25M capital increase to expand its user base, as well as the number of registered pharmacies in its network.
Elsewedy signs an EGP 846M EPC contract with EETC
ElSewedy Electric has signed an EGP 846M worth of engineering procurement and construction (EPC) with Egyptian Electricity Transmission Company (EETC). The contracts include the construction of Toshka 4 substation and West Port-Said substation.
Pfizer and BioNTech developed a 90% effective Covid-19 vaccine
Pfizer and German partner BioNTech announced a Covid-19 vaccine Phase 3 success candidate that is 90% effective. The partners found no serious safety concerns yet and they expect to seek FDA emergency authorization this month, a breakthrough that could make the shots available for use by the end of the year. Pfizer expects to produce a global of up to 50M vaccine doses in 2020 and up to 1.3B doses in 2021.
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Ancient Egyptians once lost a battle because the enemy used cats against them. Egyptians, believing cats to be scared, refused to hurt the animals.
Word of the Week
The overnight deposit and overnight lending rate are the interest rate banks charge each other for overnight deposits and loans. The lower the overnight lending rate becomes, the cheaper it is for businesses to borrow money. On the other hand, the lower the overnight deposit rate becomes, the less attractive it becomes for an investor to deposit his/her money in the bank.