Baku:The share of private investment in Egypt's total investments has increased to around 65%, up from previous averages of 40% to 45%, according to Investment and Foreign Trade Minister Mohamed Farid Saleh. Last year, private-sector investments exceeded EGP 1 trillion, highlighting the sector's expanding role in economic activity.
According to State Information Service Egypt, this development was announced by Farid on the sidelines of the launch of the Alam El Roum investment zone on Egypt's North Coast. He noted that the figures indicate effective coordination among ministries and government bodies to support the private sector and simplify procedures for investors.
The Egyptian government is focused on enhancing private investment to drive economic growth and job creation. Farid disclosed that foreign direct investment in Egypt reached approximately $15 billion, excluding major deals, and he anticipates further growth in foreign investment, bolstered by Egypt's strengths in manufacturing, construction, and local expertise across various sectors.
Investment zones are seen as a crucial tool for expediting project implementation and facilitating economic activities. These zones enable investors to obtain necessary licenses and approvals efficiently, thereby reducing bureaucratic hurdles.
The Ministry of Investment and Foreign Trade is also working on improving services for investors by expanding electronic platforms, automating procedures, and utilizing the golden license system to expedite investment activities in line with legal and regulatory frameworks.
Farid emphasized that the expansion of investment zones aims not only to attract capital but also to promote local development, create jobs, and utilize state infrastructure to boost local economies. He added that the private sector employs about 70% or more of Egypt’s workforce. To achieve annual economic growth of 5.5% to 6.5%, investments would need to rise to approximately 25% of the GDP, with a stronger focus on the private sector's role in driving growth and employment.
The Ministry of Investment and Foreign Trade plans to continue supporting new projects and coordinating with the Ministry of Housing and other relevant authorities to expand investment zones, enhance Egypt's attractiveness to both domestic and foreign investors, and support the nation's economic development goals.