RIYADH: Egypt’s foreign cash revenue is projected to surge by $13.7 billion from five key sources this year, a 14.6 percent increase over last year, according to the International Monetary Fund. 

This surge is largely due to investments in the Ras Al Hikma City development deal recently signed by the government with ADQ Holdings, as reported by CNBC Arabia. 

The IMF projected that foreign cash inflows from these five sources for the fiscal year 2023-2024 will total around $107.3 billion, compared to about $93.6 billion in 2022-2023. 

These sources encompass proceeds from commodity exports, tourism revenues, Suez Canal revenues, as well as private transfers and net foreign direct investment. 

Despite expectations of an increase in foreign cash revenue from these sources this year, the IMF anticipates inflows to decrease again in the next fiscal year, dropping below the levels of the previous year to approximately $91.2 billion. 

The fund forecasts foreign cash inflows from commodity exports to decline to $33.2 billion during the current fiscal year, compared to $39.6 billion last year, reflecting a decrease of about 16.2 percent, with an expected increase to $35.6 billion next year. 

It also predicts a decline in Egypt’s tourism revenues during 2023-2024 to around $12 billion, compared to $13.6 billion in 2022-2023, reflecting a decrease of about 11.8 percent, with an increase to around $12.6 billion in 2024-2025. 

Furthermore, the financial agency expects a decline in Suez Canal revenues during the current fiscal year to $6.8 billion, compared to $8.8 billion last year, marking a decrease of about 22.7 percent, with an anticipated increase to around $10 billion next year. 

As for net private transfers from abroad, they are anticipated to increase to around $23.1 billion during 2023-2024, compared to about $21.9 billion during 2022-2023, reflecting a 5.5 percent increase, and continuing to rise to $24.6 billion in 2024-2025. 

Similarly, net foreign direct investment inflows are projected to surge during the current year to around $32.2 billion, compared to $9.7 billion in the previous fiscal year, marking a 232 percent increase, and then decline next year to $8.4 billion. 
 

RIYADH: Qatar’s non-energy private sector witnesses improvement in business conditions in April as the Purchasing Managers’ Index hit 52, compared to 50.6 in March, according to the latest data.

The Qatar Financial Center PMI is a composite single-figure indicator of non-energy private sector performance that is derived from indicators for new orders, output, employment, suppliers’ delivery times and stocks of purchases. A reading above 50 signifies sectoral expansion, while below that mark indicates contraction.

The latest PMI survey data from the center compiled by US-based capital marker firm S&P Global showed that the 1.4-point increase between March and April in the headline figure was among the largest registered over the past two years, according to a statement.

Moreover, the data disclosed that while output, new orders, employment and purchasing activity all increased at faster rates than in March, price pressures turned slightly negative, as both input and output prices fell marginally.

Additionally, the volume of incoming new business in Qatar’s non-energy economy rose at the fastest rate in seven months in April. This is mainly attributed to new customers and high quality, competitive products.

Total activity also surged at the fastest rate since last September in April as new projects and firms continued to complete existing workloads.

Furthermore, non-energy private sector companies were increasingly optimistic on growth over the next 12 months in April. Companies residing in the Gulf country linked positive forecasts to marketing campaigns, business development plans and efficiency drives.

Consequently, stronger inflows of new work and increased confidence led to a sharper rate of hiring growth in April. Employment has risen for 14 months, and the rate of job creation was running above the long-run survey average in April.

The Qatar PMI indices are compiled from survey responses from a panel of around 450 private sector companies. The panel covers the manufacturing, construction, and wholesale as well as retail and services sectors, and reflects the structure of the non-energy economy according to official national accounts data. 

Islamic banking

The total value of the assets of Islamic banks operating in Qatar during the month of March 2024 increased by 6.4 percent on an annual basis to reach about 563.9 billion Qatari riyals ($154.8 billion), according to newly released statistics.

The monetary bulletin issued by the Qatar Central Bank for the month of March showed that this recorded figure represents 28 percent of the total assets of banks in Qatar, amounting to approximately 1.99 trillion riyals.

The data also revealed that the total value of Islamic banks’ financing in Qatar increased to 389.9 billion riyals, an increase of 3 percent over the corresponding month of last year.