From investment and funding news, and government initiatives to signing agreements, swipe to stay updated with the latest developments and highlights, these updates shed light on the country's economic growth and potential
This weekly news recap brings you the latest highlights from the Egyptian economy. This recap covers a range of significant developments that have implications for Egypt's economic landscape.
From investment and funding news, and government initiatives to signing agreements, swipe to stay updated with the latest developments and highlights, these updates shed light on the country's economic growth and potential.
1. The Egyptian Cabinet approves Egypt's largest foreign direct investment deal: The Egyptian Cabinet headed by Prime Minister Mostafa Madbouly approved the largest foreign direct investment deal through a partnership with major entities in current state efforts to attract foreign direct investment and increase the country's foreign exchange resources. The projects resulting from this major investment deal will provide thousands of job opportunities. He added that more details will be announced soon and that the government is working to finalize the agreement with the International Monetary Fund (IMF).
2. Egypt to increase oil & gas foreign investments by 25% in FY24/25: Egypt aims to increase foreign investments in the oil and gas sector by about 25%, to reach $7.5 billion in the fiscal year 2024/2025. During FY2022/2023, the foreign investments in the sector reached $5.6 billion, compared to $4.7 billion in FY2021/2022.
3. M&A deals increase by 32% in Egypt during H2 of 2023: Egypt’s mergers and acquisitions (M&A) in the second half of 2023 increased by 32% in deal volume to reach 79 deals compared to 60 deals in the first half of 2023, according to the latest report by Baker McKenzie. The total value increased by 383% in the second half of 2023 to $2.8 billion compared to $597 million.
4. Egypt to increase renewable energy by 60% within the energy mix by 2030: Egypt is currently updating its energy strategy to increase the percentage of renewable energy within its energy mix to 60% by 2030 up from its previous targe of 42%.
5. BRICS competition authorities meet in Egypt to discuss food security & supply chain: Heads and officials of the competition authorities and experts from the member countries of the BRICS met on Wednesday to discuss global food supply chains and how to apply competition policies and brainstorm on finding more sustainable and competitive solutions to regulate global grain trade. This marks the first competition meeting hosted by Egypt after its official joining of the BRICS group earlier this year.
6. Egypt signs 2 deals with UAE companies across real estate & healthcare sectors with more than $2.2B in investments: The New Urban Communities Authority (NUCA) and UDC Real Estate Development Company to allocate a plot of land in the Andalus Gardens area in New Cairo to establish an integrated urban community with EGP 60 billion. NUCA) and NHMC Medical Services (Egypt), a subsidiary of the English company NHMC, also signed a contract to allocate land to establish an integrated urban medical and educational project in Shorouk City with investments of $300 million.
7. BP to invest $1.5 to $5B in Egypt's exploration activities in coming years: British Petroleum (BP) will invest $1.5 billion in Egypt's development and exploration activities in the coming years. There is also a possibility of additional investments amounting to $5 billion in the future. BP aims to utilize existing land and maritime facilities to expedite development and production plans, meeting the increasing demand of the local market and supporting Egypt's energy export efforts.
8. Egypt to launch EGP 50B tourism support initiative: The Egyptian Cabinet is close to launching a new initiative worth EGP 50 billion to support the tourism sector and finance investments in hotel rooms. The initiative is in the final stages of preparation and the details of mechanisms and conditions will be announced soon.
9. EGX introduces new stock categorization to enhance trading mechanisms: The Egyptian Exchange (EGX) has announced the division of stocks into four distinct categories based on their index placement. The categories are: Most Active Market, Inactive Market, Moderately-Active Market and SMEs Market.
