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Key Takeaways from Prime Minister's Meeting with Investors

Prime Minister Holds Virtual Meeting with Over 200 Global Investors Representing 110 Investment Firms



**Highlights**


- Yesterday, Prime Minister Dr. Mostafa Madbouly held a virtual meeting with a group of foreign investors.


- The meeting was attended by Ahmed Kouchouk, Deputy Minister of Finance for Public Policies; Rami Abul Naga, Deputy Governor of the Central Bank; and Karim Awad, CEO of EFG Hermes Holding.


- Over 200 global investors from 110 investment firms across various sectors participated, including 59 from the UAE, 37 from Saudi Arabia, 34 from the US, 33 from the UK, 14 from South Africa, and 28 from other countries.


- Prime Minister Dr.Mostafa Madbouly welcomed investors, emphasizing Egypt's commitment to creating a positive investment climate.


- He noted the Ras Al Hikma deal as a starting point and prioritized quickly addressing investor challenges to make investments easy and rewarding.


- He highlighted attractive investment opportunities in key sectors, which will be showcased at the upcoming Egypt-EU Joint Investment Conference on June 29-30, 2024.


- These opportunities are open to both Arab and foreign investors.


- The Prime Minister announced that starting next week, the state will begin paying 20-25% of its outstanding dues to foreign partners in the petroleum sector, with plans for gradual settlement of the remaining amounts.


- He confirmed that there are no goods held up in customs, as all items have been cleared.


Full Release from the Cabinet Facebook Page Link


Yesterday, Prime Minister Dr. Mostafa Madbouly held a virtual meeting with a group of foreign investors. The meeting was attended by Ahmed Kouchouk, Deputy Minister of Finance for Public Policies; Rami Abul Naga, Deputy Governor of the Central Bank; and Karim Awad, CEO of EFG Hermes Holding. Over 200 global investors from 110 investment firms across various sectors participated, including 59 investors from the UAE, 37 from Saudi Arabia, 34 from the US, 33 from the UK, 14 from South Africa, and 28 from other countries.


Madbouly emphasized that the government is working to enhance investor presence, reassure them, and improve transparency levels. He highlighted the importance of implementing consistent economic policies, offering effective solutions, and establishing stable legislative frameworks. The Prime Minister reiterated the commitment to the announced program for the divestment of shares in state-owned assets.



Prime Minister Dr. Mostafa Madbouly welcomed investors, emphasizing Egypt's commitment to creating a positive investment climate. He noted the Ras Al Hikma deal as a starting point and prioritized quickly addressing investor challenges to make investments easy and rewarding.


The Prime Minister stressed the government's focus on improving financial market efficiency, transparency, and consistent economic policies. He reaffirmed the commitment to the divestment program of state-owned assets to boost private-sector participation.


"We aim for a sustainable annual growth rate of 7 to 8%, with foreign direct investments being crucial," he stated.


Central Bank Deputy Governor Discusses Forex Stability and Impact of Foreign Investments


Deputy Governor of the Central Bank Rami Abul Naga discussed recent reforms that stabilized the foreign exchange rate and supported monetary policy. He highlighted efforts to control inflation and the positive impact of the Ras Al Hikma deal and foreign investments on stabilizing the exchange rate and meeting essential needs.


Deputy Minister of Finance Highlights Financial Policies and Incentives for Foreign Investors


Ahmed Kouchouk, Deputy Minister of Finance for Financial Policies, outlined to the

attendees the financial policies and incentives Egypt offers to foreign investors. He emphasized the government's efforts to implement attractive tax and financial policies to boost foreign investment.


During the meeting, Prime Minister Dr. Mostafa Madbouly responded to questions from several investors regarding Egypt's investment climate. Madbouly emphasized the government's support for the private sector, setting a cap of EGP 1 trillion on state investments in the next fiscal year's budget to increase private sector participation.


He highlighted attractive investment opportunities in key sectors, which will be showcased at the upcoming Egypt-EU Joint Investment Conference on June 29-30, 2024. These opportunities are open to both Arab and foreign investors.


The Prime Minister announced that starting next week, the state will begin paying 20-25% of its outstanding dues to foreign partners in the petroleum sector, with plans for gradual settlement of the remaining amounts. He confirmed that there are no goods held up in customs, as all items have been cleared.


The Prime Minister outlined efforts to reduce the debt-to-GDP ratio using available hard currency resources and major state deals. He noted the government’s goal to lower debt to 80% of GDP and reviewed the benefits of the Ras Al Hikma deal, which includes Egypt receiving 35% of the project’s profits. The project, expected to involve $150 billion in investments over its lifetime, will contribute $3-4 billion annually.


The Prime Minister discussed the development of Alamein City and the creation of Ras Al Hikma as part of efforts to enhance the North Coast, increase hotel rooms, and attract more tourism investments. He emphasized the importance of improving the region's infrastructure to achieve these goals.


The Prime Minister reiterated the government's commitment to boosting the private sector's contribution to growth, aiming for 50% by next year and 65% in the next three years. He highlighted the government's focus on supporting key sectors such as industry, agriculture, ICT, and tourism, which are crucial for leading the economy and achieving targets.


The Prime Minister praised the diversity of the Egyptian economy, which has helped it navigate external challenges, and confirmed the ongoing implementation of the State Ownership Policy Document and the divestment program despite recent dollar liquidity from the Ras Al Hikma deal. A new unit under the Prime Minister's supervision has been established to monitor state-owned companies' performance.


He also mentioned efforts to secure financial resources to end electricity load shedding and noted that the state has subsidized petroleum products for years, aiming to balance prices by the end of 2025 and end load shedding by the end of 2024.


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