Is it time for a conversation on road accidents? 🚘

Hey friends. After back-to-back long weekends, Egypt is finally back to its usual five-day rhythm.

But let’s be real, Sahel Season is still going strong. With schools and universities on break, the North Coast is buzzing — bringing its yearly economic boom and tempting sunseekers to make the trip, whether it’s for a quick weekend or an extended escape.

This week, we’ve put together a special segment on Sahel’s rising influence and how Egyptians are navigating the costs of coastal life. You can jump straight to it from the headline list below.

Now, let’s get into this week’s roundup.

• Time to talk about Egypt's traffic safety 🚘

• IMF to merge two loan reviews 💰

• Sahel Season 🏝️

• No more GERD talks 💧

• Fourth consecutive PMI contraction 📉

ROAD ACCIDENT | TRAFFIC | SAFETY
ANOTHER DEADLY CRASH IN MENOUFIA – IS IT TIME TO HAVE A CONVERSATION?

A high-speed collision between two microbuses on the Cairo–Alexandria Desert Road near Menoufia Governorate early Saturday morning left nine people dead and 11 injured. Eighteen ambulances were dispatched, with the injured taken to nearby hospitals and the deceased transferred to the morgue.

The crash closely follows another deadly incident in Menoufia just a week ago, where a transport truck collided with a microbus on the Regional Ring Road in Menoufia, killing 18 young women and injuring three others.

Investigations later revealed that the truck driver tested positive for drugs and was asleep on the wheel right before the tragic crash.

What happened this time? Security sources say excessive speed was to blame. The Public Prosecution has launched an investigation, and authorities are working to determine if further negligence played a role.

In the wake of these incidents, President Abdel-Fattah Al-Sisi ordered the temporary closure of parts of the Regional Ring Road for maintenance

Is it time for a conversation? The back-to-back tragedies have reignited national concern over Egypt’s reckless driving culture and current road safety standards. During the first tragic accident, citizens and media personalities both went online to voice their anger and concern.

For example, popular Egyptian talkshow host, Amr Adib, called out officials to take accountability, including current Transport Minister and Deputy Prime Minister, Kamel Al-Wazir.

Another video circulating social media during the last week showed three large trucks racing on a predominantly car-driven road in Sixth of October City, sparking further outrage and eventually leading Egyptian authorities to locate and arrest the three drivers.

Accidents — often caused by speeding, fatigue, or unlicensed drivers — claim thousands of lives each year, especially on highways connecting key cities. Despite road accident fatalities dropping from 5,861 in 2023 to 5,260 in 2024 according to a national report, safety concerns remain at an all time high.

INTERNATIONAL MONETARY FUND | LOAN PROGRAM
IMF DELAYS NEXT LOAN PAYOUT TO COMBINE FIFTH AND SIXTH REVIEWS OF EGYPT PROGRAM

The IMF will combine its fifth and sixth reviews of Egypt’s loan program and complete them by September, IMF Communications Director Julie Kozack confirmed last week. Once finalized, Egypt would receive USD 2.4 billion (EGP 118.2 billion) of the USD 8 billion Extended Fund Facility.

Why the delay? Kozack said more time is needed to wrap up key reforms, particularly those focused on reducing the state’s economic role and boosting private sector participation. These are core to Egypt’s structural reform agenda.

How’s Egypt doing? Kozack noted some positive developments, including falling inflation and higher foreign exchange reserves. But she stressed the need to deepen structural changes, especially regarding the state ownership policy and asset diversification program, in order to improve the business climate and attract investment.

What else is linked? The first review of Egypt’s separate Resilience and Sustainability Facility (RSF) will also be bundled with the sixth review of the main program. The IMF reiterated its commitment to supporting Egypt’s economic reform process amid external pressures.

Refresher: The IMF approved the EFF deal in December 2022, expanding it to USD 8 billion in 2024, aiming to stabilize the economy and push structural reforms forward. Egypt has since passed four loan reviews successfully, but continues to weather global and regional challenges.

SUMMER SPENT WELL: HOW EGYPTIANS STAY IN CONTROL OF SAHEL SEASON COSTS

Every year, as the heat creeps in and cities slow down, something familiar happens: people head north — Sahel season kicks off. Plans are made, bags packed, playlists built. What was once a quiet escape has become one of Egypt’s liveliest rhythms — full of connections, events, and activity. Sahel has grown into a seasonal economic force.

Investments galore: The region is quickly building a reputation as an investment magnet for real estate megaprojects. The biggest one yet? Ras El Hekma — a whopping USD 150 billion (EGP 1 trillion) development announced in 2024 with the UAE. Think marinas, global hotel brands, and major infrastructure — all designed to make this a year-round destination. And more may be on the way, with recent reports pointing to Qatari interest in a USD 3.5 billion (EGP 173.9 billion) project along the shore.

But while real estate headlines dominate, the real story lies in how more Egyptians are shaping their own version of summer — on their own terms — and how they’re staying in control of costs during this holiday economic boom.

A coastline that keeps evolving: Like any holiday, a trip to Sahel comes with expenses. From the return of favorite food spots to new local brands testing pop-ups along the shore, Sahel has quietly grown into a place where summer memories meet modern convenience. But more and more people are finding smarter ways to manage the coast’s costs in a way that fits their lifestyle.

Spending smart, not stressed: Instead of putting plans on hold, Egyptians are turning to payment solutions that offer flexibility and control — spreading costs in responsible ways that align with their budgets. Financial tools like Valu offer transparent options that support everyday purchases without the pressure. In fact, BNPL services in Egypt have grown nearly 40 percent in the last year alone — proof that financial flexibility is becoming the new norm.

How Valu helps keep things simple: Whether it’s a coffee by the beach, a nice dinner with friends, or restocking on essentials, Valu’s Prepaid Card gives users an easy way to spend consciously and stay in control. Just top it up through the app and use it anywhere Visa is accepted — no stress, no surprise bills, just the freedom to enjoy summer while keeping tabs on your spending.

This isn’t about indulgence — it’s about ease: Summer should feel light, and Valu helps keep it that way. However you plan your break, the goal is the same: to enjoy your time off without it becoming a financial burden.

P.S. Heading abroad this summer? Valu also offers a credit card in partnership with Bank NXT, giving you the flexibility to spend confidently across currencies and borders, while staying fully in control of your financial plans.

ETHIOPIA | NILE RIVER | WATER SECURITY
EGYPT’S FM: NILE DAM TALKS WITH ETHIOPIA COMPLETELY STALLED

 Egypt’s Foreign Minister Badr Abdelatty announced that negotiations with Ethiopia over the Grand Ethiopian Renaissance Dam (GERD) have completely stalled, ending more than a decade of efforts to reach a binding agreement.

Why it matters: Abdelatty accused Ethiopia of using talks as cover for unilateral actions, while reaffirming that Egypt will not compromise on what it considers an existential issue tied to its historical Nile water share.

GERD has fueled tensions since 2011. Ethiopia sees it as vital for energy and development, while Egypt fears significant disruptions to its water supply. Mediation efforts by the AU, US, and others have failed to yield a binding agreement, especially on drought protocols.

Egypt’s water crisis: Egypt receives 55.5 billion cubic meters of water annually— far short of its 90 billion cubic meter needs, with per capita share at just 480 cubic meters, less than half the UN water poverty threshold.

Déjà vu in diplomacy? Back in December 2023, Egypt’s Water Resources and Irrigation Minister, Hani Sewilam, also mentioned that talks came to a halt and that Egypt would no longer negotiate with Ethiopia.

What’s next? Egypt says it reserves the right to defend its water interests and warned there is “no room for complacency” as the issue directly impacts national security.

PURCHASING MANAGERS’ INDEX | BUSINESS ACTIVITY
NON-OIL PRIVATE SECTOR CONTRACTS FOR FOURTH STRAIGHT MONTH

Egypt’s non-oil private sector continued to shrink in June, with the Purchasing Managers’ Index (PMI) falling to 48.8, down from 49.5 in May — firmly below the 50 mark that signals growth.

Why the drop? The downturn was driven by weaker demand, falling output, and a sharp pullback in purchasing activity, which hit an 11-month low. Employment also declined for the fifth consecutive month.

Business sentiment at record low: Confidence in future output fell to its lowest level ever, amid fears of geopolitical risks and sluggish new orders.

Small silver lining: Input cost inflation eased, allowing firms to raise prices at a slower pace, giving slight relief to customers.