Egyptian Investments in Libya Surpass $2.5 Billion

Libya Review

2 days ago

Egyptian companies are currently executing infrastructure and development projects in Libya worth over $5 billion, according to Ahmed El-Wakil, President of the Federation of Egyptian Chambers of Commerce.
Speaking at the 4th Egypt-Libya Business Forum held in Alexandria under the slogan 'Egypt and Libya Towards Integrated Sustainable Development,' El-Wakil noted that these ventures span key sectors such as road construction, including the ring road, power stations, and housing developments.
Egyptian Investment in Libya Surges
El-Wakil revealed that Egypt's direct investments in Libya have surpassed $2.5 billion for the first time, now exceeding Libyan investments in Egypt—signaling a significant shift in the bilateral economic landscape.
However, he also noted a 25% decline in the number of Libyan companies operating in Egypt, with the figure falling to 511 firms. These companies have a declared capital of $4 billion and effective contributions of $2.4 billion.
El-Wakil urged the reactivation of the Shidda Libya Investment Authority, citing its past pivotal role in supporting economic cooperation.
New Joint Ventures Targeting Africa
Calling for a move beyond traditional bilateral ties, El-Wakil advocated for a new phase of joint economic action aimed at penetrating African markets, aligning with the mutual interests of both nations.
He emphasized the strategic benefits of the African Continental Free Trade Area (AfCFTA), which opens access to a market bloc valued at over $1.4 trillion.
Logistics Hub at Salloum Border and Regional Infrastructure Plans
On the logistics front, Egypt has completed technical studies to establish a global logistics hub near the Salloum border crossing, which would boost trade with Libya and improve access to West African markets.
He also highlighted the strategic importance of the Mediterranean coastal highway stretching from Port Said to Casablanca, and proposed accelerating the construction of a transcontinental trade route connecting southern Egypt, southern Libya, Chad, and Dakar, enhancing links between the Mediterranean Sea and Atlantic Ocean.
Private Sector Role in Libya's Reconstruction
El-Wakil called for aligning Egyptian technical capabilities with Libyan capital to take advantage of business opportunities across the African continent, especially for young entrepreneurs.
He affirmed that the private sector—supported by both governments—is well-positioned to lead Libya's post-conflict reconstruction, especially in transportation, logistics, ports, infrastructure, and energy.
Highlighting Egypt's success in national power development and regional interconnection, El-Wakil stressed its potential as a foundation for future cooperation. He also pointed to promising joint ventures in manufacturing, particularly in building materials, metallurgy, and food industries—where Egypt holds strong technological and industrial advantages.
The forum reflects ongoing efforts to expand economic cooperation between Cairo and Tripoli, with the private sector playing a key role in driving sustainable development and rebuilding efforts. Tags: AfCFTAEgyptlibyaNorth AfricaTrade