CAIRO: No more browse from site to another, here is business digest for Tuesday, Aug. 31:
EGX gains 6.3 bln EGP during opening session Wednesday
The market capitalization of the Egyptian Stock Exchange has gained around 6.3 billion EGP during the first hours of Wednesday trading session.
Quad fund to be established to support troubled factories: Minister
Minister of Planning Ashraf el-Araby announced establishing a fund to support troubled factories.
The fund will be established by four foundations including: the National Investment Bank, Long Live Egypt Fund, Ayady Company and Industrial Modernization Center (IMC.)
Increase in prices is due to budget deficit: Minister
Minister of Planning Ashraf el-Araby said that the prices hike is mainly caused due to a deficit in the public budget.
Meanwhile, citizens have complained against a remarkable increase in prices of basic commodities, citing the unprecedented rise in dollar exchange price reaching 13 EGP as the reason.
Cyprus signs deal with Egypt for gas transfers via pipeline
Cyprus signed a deal on Wednesday for the transfer of natural gas via pipeline to Egypt, once extraction starts of discoveries made off the Mediterranean island.
U.S. energy firm Noble found an estimated 4.5 trillion cubic feet of natural gas in one prospect off Cyprus in late 2011.
A consortium of Italy’s ENI and Korea’s KoGas have a contract with Cyprus for exploration over three offshore blocks. French oil major Total has exploration rights over one block.
Wednesday’s accord was signed in the Cypriot capital Nicosia by Egyptian petroleum minister Tarek El Molla and Cypriot energy minister Yiorgios Lakkotrypis.
In a joint statement, the two said the deal would allow a direct subsea pipeline from Cyprus’s exclusive economic zone (EEZ) to either Egypt’s EEZ or onshore Egypt, for domestic consumption or re-export.
An EEZ is a maritime area over which states have commercial rights.
Cyprus received expressions of interest from ENI, Total, Statoil, Exxon Mobil, Qatar Petroleum, and Cairn in a licensing round for another three offshore hydrocarbon blocks in a licensing round in late July.