The economic adviser to the Egypt Center for Economic and Strategic Studies, Ahmed Zakaria, said in an interview with Al-Arabiya, that the Egyptian state launched the initiative to empower the private sector and the state ownership document, with the aim of changing the economic course, to increase the contribution of the private sector within 3 years to 65%, up from to 26%.
Zakaria added that the decision of the Plan and Budget Committee in the Egyptian Parliament, to cancel exemptions for many state-affiliated entities, is an activation of the state ownership document to attract and support the private sector in economic activities.
He explained that the private sector in Egypt complains of competitive neutrality with government companies, which enjoy many exemptions for fees, taxes and customs.
He pointed out that these cancellations support making the private sector the locomotive of economic growth within 3-5 years, and thus the share of government investments decreases and private sector investments appear in all fields according to the state ownership document, with the exception of some strategic sectors related to national security.
And he indicated that Egypt aims to attract investments in many sectors, such as real estate, green hydrogen, electric cars, and others.
“The executive regulations will show all interpretations related to the sectors in which the private sector is allowed to be neutral in competition with government companies, and will also clarify whether it will include projects of the national service apparatus.”
He mentioned that the field in Egypt has now become open to the private sector to compete in the projects proposed by the Egyptian government.
With regard to the Egyptian government’s decision to allow foreigners to own real estate and lands in dollars, Zakaria said, “It is an important step in the state’s efforts to increase its hard currency resources, and to establish new residential communities, which contribute to increasing the inhabited area.”
He continued, “What contributes to solving the currency crisis in Egypt is foreign investments through an investment strategy to make Egypt among the best countries that attract investments in the world.”
