Egypt Reaffirms Economic Reforms to Boost Investment and Competitiveness

Egypt Reaffirms Economic Reforms to Boost Investment and Competitiveness
Hassan El-Khatib, Egypt’s Minister of Investment and Foreign Trade, has reiterated the government's commitment to implementing comprehensive economic reforms to create a more competitive and appealing investment environment for both local and international investors. He emphasized that improving the nation's competitiveness is essential for attracting greater foreign direct investment (FDI).

The Minister made these comments during a meeting with a delegation of fellows from the Shafik Gabr Foundation's East–West initiative, which focuses on promoting dialogue and sustainable development.

El-Khatib highlighted Egypt’s transformation over the past ten years, noting the substantial infrastructure investments that have created a foundation for long-term growth. He stressed Egypt's unique geographic role in connecting East and West, enhancing its potential as a regional investment and logistical hub.

Key Economic Reform Pillars
The ongoing reform agenda is focused on several key areas designed to boost competitiveness:

- Monetary Policy: Measures aimed at controlling and curbing inflation.

- Fiscal Policy: Reforms designed to reduce taxes and fees on businesses.

- Trade Policy: Efforts to streamline customs procedures, resulting in a significant reduction in clearance times by up to 75%.

Promising Investment Sectors
The Minister pointed out diverse and lucrative investment opportunities in the Egyptian market, with a strong focus on:

- Renewable Energy: Identified as one of the most strategic sectors, with plans to expand wind and solar projects, particularly along the Red Sea coast.

- High-Value Industries: Automotive, chemical, and green energy sectors are being prioritized for government support due to their potential to create labor-intensive and high-value jobs.

- Other Key Sectors: Tourism, healthcare, and Information and Communications Technology (ICT).

El-Khatib also noted Egypt's strategic advantage as a digital hub, given that approximately 70% of Asia-Europe internet traffic passes through the country. He concluded by confirming the government's ambitious goal to double foreign direct investment through this focused, innovation-led reform program.