Madbouly: The Egyptian government attaches great importance to empowering the private sector to be the engine of economic growth

Today, Friday, Prime Minister Dr. Mostafa Madbouly held a meeting with 40 representatives of major companies and research and intellectual institutions in South Africa, with the participation of Dr. Badr Abdel Aty, Minister of Foreign Affairs, Immigration and Egyptians Abroad Affairs, and in the presence of Ambassador Ahmed Ali Sharif, Egypt’s ambassador to South Africa, a few hours after his arrival in the city of Johannesburg, to head Egypt’s delegation participating in the G20 Summit for the year 2025, on behalf of President Abdel Fattah El-Sisi, President of the Republic.

 

At the beginning of the meeting, which was held under the slogan “Strengthening the economic partnership and integration between Egypt and South Africa,” and organized by the Egyptian Embassy, the Prime Minister welcomed representatives of the business community in South Africa, expressing his aspiration to strengthen economic, trade and investment partnerships between Cairo and Cape Town, stressing his readiness to overcome any existing challenges and provide the necessary incentives that could contribute to the flow of more investments from South Africa to Egypt.

 

Dr. Mostafa Madbouly gave a comprehensive presentation on the business climate and investment opportunities in Egypt, noting that the Egyptian government attaches great importance to empowering the private sector to be the main driver of economic growth and the primary partner in efforts to achieve development. Sustainable.

 

The Prime Minister added: In this context, the state continues to work to improve the business environment, establish infrastructure at the highest level of efficiency, and implement a wide package of economic reforms aimed at enhancing stability and resilience, and enhancing investor confidence in the Egyptian economy.

 

The Prime Minister continued that the government launched the “State Ownership Policy” document, which clearly defines the state’s role in the economy, and provides a wider space for private sector participation. In this context, the government succeeded in setting the ceiling for public investments at one trillion pounds. The government was also able to open the way for the private sector to lead investments, as it contributed 60% of the total total investments during the first half of the fiscal year 2024/2025, an increase of 80% compared to the same period of the year. The past.

 

He stressed that this development reflects the government’s commitment to building a more competitive and inclusive economy, in which the private sector is the primary engine of growth.

 

Madbouly added: Egypt is moving forward in implementing the government proposal program, as the government announced its intention to offer shares in a number of major national companies, which reflects the availability of promising investment opportunities that are consistent with the state’s vision to establish more partnerships with the private sector, pointing in this context to the efforts made to entrust the management and operation of a number of Egyptian airports to the sector. Private.

 

The Prime Minister went on to say: The Egyptian government recently launched the first phase of a package of measures to facilitate the tax system, aiming to simplify the services provided to the business community, expand the tax base, and attract new segments of financiers.

 

He continued: Based on the state’s awareness of the pivotal importance of the sectors of small and medium enterprises, emerging companies, and entrepreneurship initiatives, new procedures have been adopted that contribute to simplifying tax procedures for these groups, and accelerating the settlement of tax disputes.

 

Dr. Mostafa Madbouly, in his speech during the meeting that brought together a number of the most prominent businessmen and thinkers in South Africa, stressed that Egypt pays great attention to the issues of digital transformation and the localization of industry, and in this context, the government provides a wide package of investment incentives, especially in priority sectors, such as: clean energy, manufacturing solar panels, manufacturing cars and their components, including electric cars, pharmaceutical industries, and information and communications technology. And others.

 

He added, in this context, that the government launched the “Golden License Programme,” which aims to simplify and accelerate all approvals and procedures necessary to establish investment projects, including land allocation procedures.."RTL" lang="AR-SA"The Prime Minister then spoke about the fact that the government is paying great attention to strengthening the capabilities of the Egyptian state in the field of renewable energy, which contributes to achieving our goals in this framework, which are to raise the percentage of renewable energy’s contribution to the energy mix to 42% by 2035.

 

The state also issued, at the beginning of this year, the Green Hydrogen Incentives Law, which grants exemptions from value-added tax and real estate tax to companies implementing green hydrogen projects, in addition to a package of non-tax incentives aimed at simplifying licensing procedures and importing inputs. Production.

 

Regarding the important investment opportunities in the Suez Canal Economic Zone, Madbouly stressed that the zone is considered one of the most promising opportunities for companies looking for a stable and cost-competitive business environment, and to enhance their access to regional and international markets.

 

He added that, thanks to its unique strategic location at the intersection of three continents, and its connection to the vital shipping lane of the Suez Canal, the Suez Canal Economic Zone provides facilitated logistical services and access of goods to a number of markets without customs duties, including the markets of the Middle East and Europe, in addition to the benefit that companies can achieve from the free trade agreements signed between Egypt and a number of countries. And blocs.

 

He continued: The Suez Canal Economic Zone enables international companies to establish industrial or logistical facilities capable of reducing dependence on high-cost supply chains, enhancing the ability to confront geopolitical risks, as well as benefiting from cost-competitive labor, advanced infrastructure, and the advantages of preferential access to markets. Wide.

 

He stressed that the Egyptian government, in this context, is ready to provide all detailed information related to the available investment opportunities and incentives offered by the state to investors.

 

The Prime Minister reviewed the economic reform measures taken by the Egyptian government since March 2024, which contributed to achieving clear stability in the foreign exchange market and increasing the cash reserve, which enabled the Egyptian banking system to meet all demands for foreign currencies without Delay.

 

Dr. Mostafa Madbouly said, in this context: Egypt continues to adhere to a flexible exchange rate policy based on market mechanisms, and without any interference from the Central Bank in the exchange market, which has received wide appreciation from international financial institutions and credit rating agencies, and has resulted in raising Egypt’s credit rating. Recently.

 

He continued: Economic policies also succeeded in curbing inflation rates and putting them on a downward path..

 

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