Egypt Independent: Economy-Main news http://www.egyptindependent.com//enhome_channel/Economy/rss.xml en Stimulus package to boost international automotive investment in Egypt http://www.egyptindependent.com//node/2439395 <img src="http://www.egyptindependent.com///sites/default/files/imagecache/media_thumbnail/photo/2014/04/12/484151/nissan.jpg" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><div><div style="font-size: 13.63636302948px;">Egypt is preparing a package of incentives aimed at creating a sophisticated auto industry during the coming period through attracting many international auto companies to establish new investments in the Egyptian market, Minister of Trade and Industry Mounir Fakhry Abdel Nour said.</div><div style="font-size: 13.63636302948px;">&nbsp;</div><div style="font-size: 13.63636302948px;">These stimulants are prepared in coordination with the industrial community, the Chamber of Automotive Industry and Export Council in order to reach a comprehensive strategy for this industry.</div><div style="font-size: 13.63636302948px;">&nbsp;</div><div style="font-size: 13.63636302948px;">Abdel Nour said during his visit Thursday to General Motors that the automotive industry in Egypt is currently based only on assembling auto parts with a few exceptions, which are made locally, such as tires, batteries and windows.</div><div style="font-size: 13.63636302948px;">&nbsp;</div><div style="font-size: 13.63636302948px;">Egypt has great experience in this field through 16 companies who gather auto parts for global brands. The local component in cars reached more than 60 percent, including the transport vehicles produced by General Motor Co., he added.</div><div style="font-size: 13.63636302948px;">&nbsp;</div><div style="font-size: 13.63636302948px;"><span style="font-size: 14px;">The minister also said that the growth rates of the automotive industry in Egypt are witnessing a boom as auto sales by the end of 2014 are expected to reach 295,000 cars compared to 260,000 cars in 2010.</span></div><div style="font-size: 13.63636302948px;">&nbsp;</div><div style="font-size: 13.63636302948px;">&quot;GM acquires 24 percent of the total size of the domestic market. It plans to sell up to 61,000 cars by the end of 2014 compared to 52,000 cars sold in 2010, which shows that the market is witnessing a boom,&quot; said Abdel Nour.</div><div style="font-size: 13.63636302948px;">&nbsp;</div><div style="font-size: 13.63636302948px;">Mario Spangenberg, head of GM&#39;s board of Africa, said that the company has an ambitious strategy aimed at sustaining growth and leadership on the Egyptian market by capitalizing on more opportunities.</div><div style="font-size: 13.63636302948px;">&nbsp;</div><div style="font-size: 13.63636302948px;"><span style="font-size: 14px;">Tareq Atta, Managing Director of General Motors in Egypt and North Africa, said that in 2013, the customs and tax value the company supplied to the Egyptian treasury reached about LE780 million. It is expected to reach one billion by the end of 2014, he added.</span></div></div><div>&nbsp;</div><div>&nbsp;</div><div>&nbsp;</div><div>&nbsp;</div> Fri, 31 Oct 2014 08:30:00 +0000 Al-Masry Al-Youm,Egypt Independent 2439395 at http://www.egyptindependent.com sites/default/files/photo/2014/04/12/484151/nissan.jpg New chemical project to produce 275,000 tons of caustic soda per year http://www.egyptindependent.com//node/2439376 <img src="http://www.egyptindependent.com///sites/default/files/imagecache/media_thumbnail/photo/2014/10/30/484151/chloro-manu.jpg" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><div>Prime Minister Ibrahim Mehleb visited the Sanmar Chemicals factory in Port Said on Wednesday.</div><div>&nbsp;</div><div>The factory, which is the largest in the Middle East and North Africa, is projected to produce 275,000 tons of caustic soda per year, 60,000 tons of green ethylene derived from ethanol and 200,000 tons of polyethylene chloride vinyl.</div><div>&nbsp;</div><div>Chairman Jayaraman said the Indian Sanmar Group is investing US$1.15 billion and creating 2,000 direct and indirect job opportunities, pointing out that the group is investing an additional $150 million to build a new factory for poly vinyl chloride with a capacity of 200,000 tons.</div><div>&nbsp;</div><div>The Sanmar Group is specialized in chemicals, engineering, metals and shipping.</div><div>&nbsp;</div><div>&nbsp;</div><div><em>Edited translation from MENA</em></div><div>&nbsp;</div> Thu, 30 Oct 2014 14:30:00 +0000 MENA 2439376 at http://www.egyptindependent.com sites/default/files/photo/2014/10/30/484151/chloro-manu.jpg Egypt's stocks continue rally on Thursday, gain LE8.3 billion in a week http://www.egyptindependent.com//node/2439368 <img src="http://www.egyptindependent.com///sites/default/files/imagecache/media_thumbnail/photo/2014/04/27/459151/200924_0.jpg" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><div>The Egyptian stock exchange achieved a remarkable turnover in Thursday&#39;s session at LE1,058 million backed by institutions&rsquo; strong buying appetite that recorded a net flow of LE204.69 million, out of which LE148.55 million belong to foreign institutions&rsquo; buying activities.</div><div>&nbsp;</div><div>The EGX30 Index rose 1.86 percent recording 9,115.63 points. While, the EGX30 was up 3.6 percent this week, the market capitalization gained LE8.3 billion (US$1.2 billion) to close at LE504.2 billion compared to LE495.9 billion last Thursday.</div><div>&nbsp;</div><div>&quot;The EGX30 rose sharply breaking the resistance level 8,750 as we expected turning it into support,&quot; said Blom Egypt Securities.</div><div>&nbsp;</div><div>&quot;As we said, the rally represents a good buying opportunity, our coming resistance level now is at 8,980, breaking it will lead the rally to continue to 9,150,&quot; Blom added.</div><div>&nbsp;</div><div>The real estate sector topped the market in terms of turnover, recording LE382.68 million, representing 36.16&nbsp;percent of total market&rsquo;s activities, according to Sigma Securities Brokerage.</div><div>&nbsp;</div><div>Blom noticed that the volumes rose significantly but should continue while breaking out to the resistance level to confirm the consistency of the move.</div> Thu, 30 Oct 2014 14:11:00 +0000 Reuters,Egypt Independent 2439368 at http://www.egyptindependent.com sites/default/files/photo/2014/04/27/459151/200924_0.jpg Standard & Poor's delegation in Egypt to assess political environment http://www.egyptindependent.com//node/2439350 <img src="http://www.egyptindependent.com///sites/default/files/imagecache/media_thumbnail/photo/2014/01/27/484151/2013-03-06t142504z_329992155_gm1e9361q0501_rtrmadp_3_egypt-sukuk.jpg" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><p dir="LTR">A Standard &amp; Poor&#39;s Ratings Services delegation arrived on Wednesday to conduct several interviews as part of preparing Egypt&rsquo;s classification that will be announced during the coming period, the Ministry of Finance said.</p><p dir="LTR"><span style="font-size: 1em; line-height: 1.5em;">The delegation will meet with a number of leaders in the Ministry of Interior to inquire about the security situation and will also meet with a number of political figures to assess the political environment, said an official source.</span></p><p dir="LTR"><span style="font-size: 1em; line-height: 1.5em;">In November 2013,&nbsp;Standard &amp; Poor&#39;s Ratings has raised its sovereign credit ratings for Egypt to &#39;B-/B&#39; from &#39;CCC+/C&#39;, saying it expected support from other countries which has propped up government finances to continue.</span></p><p dir="LTR"><span data-term="goog_1374203232" style="font-size: 1em; line-height: 1.5em;" tabindex="0">On Monday,</span><span style="font-size: 1em; line-height: 1.5em;">&nbsp;Moody&#39;s Investors Service says that Egypt&#39;s improving economy and stabilizing politics reduce downside risks, with credit challenges centered on weak government finances.</span></p><p dir="LTR"><span style="font-size: 1em; line-height: 1.5em;">This follows Moody&#39;s decision on 20 October 2014 to change the outlook on Egypt&#39;s government bond rating from negative to stable. At the same time, Moody&#39;s affirmed the rating at Caa1.</span></p><p dir="LTR"><span style="font-size: 1em; line-height: 1.5em;">The Egyptian government asked the IMF for a long-delayed economic assessment in the hope of improving the country&rsquo;s image before a February investment conference, according to the finance ministry.</span></p><p dir="LTR"><span style="font-size: 1em; line-height: 1.5em;">The government said it wants the results published before the Egypt Economic Summit in Sharm el-Sheikh, a conference to boost investment in an economy battered by years of political turmoil and a lack of investor confidence.</span></p><p dir="LTR"><span style="font-size: 1em; line-height: 1.5em;">&quot;A mission from the IMF will work in November on an Article IV report based on the work of this team, which could be discussed by our executive Board and be ready in time for the Egyptian economic conference summit that they are planning in the month of February next year,&quot; Masood Ahmed, IMF&#39;s Director, said in early October.&nbsp;</span></p> Thu, 30 Oct 2014 10:03:00 +0000 Ibrahim Alsahary 2439350 at http://www.egyptindependent.com sites/default/files/photo/2014/01/27/484151/2013-03-06t142504z_329992155_gm1e9361q0501_rtrmadp_3_egypt-sukuk.jpg