Latest news with #EgyptianBusinessmen'sAssociation
Daily News Egypt
25-05-2025
- Business
- Daily News Egypt
Environment Minister urges stronger private sector role in green investment
Egypt's Environment Minister Yasmine Fouad has called on the country's business community to take a more proactive role in advancing environmental and climate goals, stressing the importance of aligning private investment with national sustainability priorities. Speaking at a high-level meeting with the Egyptian Businessmen's Association (EBA) in the New Administrative Capital on Sunday, Fouad underscored the ministry's evolution into a development partner. 'This ministry is no longer a roadblock to investment,' she said. 'Since 2019, we've repositioned ourselves as a strategic enabler of green growth and economic progress.' The meeting brought together senior officials and leaders from key economic sectors to explore green investment opportunities and discuss how businesses can contribute to Egypt's environmental transition. Fouad outlined a series of reforms designed to attract private investment in sectors such as waste management, eco-tourism, and industrial pollution control. She pointed to Egypt's successful model of converting rice straw into commercial products as an example of transforming environmental challenges into economic value. To further accelerate green investment, Fouad announced the establishment of a new Environmental and Climate Investment Unit within the ministry. The unit will focus on identifying bankable green projects, preparing feasibility studies, and expediting the permitting process. She noted that environmental permits are now issued within seven working days, thanks to improved coordination with the Industrial Development Authority. Other initiatives include the digitalization of the permitting process, targeted grants for pollution abatement, and sector-specific compliance guides to support businesses in reducing emissions and meeting sustainability targets. EBA board members welcomed the ministry's new direction and praised the improved regulatory environment. They emphasized the importance of green standards for enhancing Egypt's export competitiveness and expressed strong support for expanding carbon credit trading to incentivize private-sector emission reductions. The Association also offered its extensive nationwide network and 18 sector-specific committees to support joint awareness campaigns, training programs, and policy development in partnership with the ministry. Fouad concluded the meeting by proposing the launch of a **National Environmental Dialogue for Business** during Egypt's World Environment Day celebrations on June 5. The initiative would bring together policymakers and the private sector to address climate-related issues, including the EU's Carbon Border Adjustment Mechanism (CBAM), green financing tools, and public-private partnership models. 'We welcome all ideas that protect the environment while driving inclusive and sustainable economic growth,' she said.
Daily News Egypt
25-05-2025
- Business
- Daily News Egypt
Back-to-back interest rate cuts spur investment, exports: Egyptian business leaders
The Central Bank of Egypt's (CBE) second consecutive interest rate cut is fueling optimism among investors, with key figures in the business community hailing the move as a strong catalyst for economic growth, investment, and export expansion. Ahmed El-Zayat, a member of the Egyptian Businessmen's Association and a board member of the General Division of Investors at the Federation of Egyptian Chambers of Commerce, described the decision as a 'positive signal for the private sector,' reinforcing market confidence and economic stability. The CBE's Monetary Policy Committee announced on Thursday that it had lowered key interest rates by 100 basis points for the second time in a row. The overnight deposit rate was reduced to 24%, the overnight lending rate to 25%, and the main operation and discount rates to 24.5%. El-Zayat emphasized that lower borrowing costs will incentivize the private sector to initiate new projects and production lines at more competitive rates, ultimately driving up overall investment and production capacity. He noted that this also opens the door to increased exports, job creation, market stabilization, and lower consumer prices. Industries most likely to benefit from the rate cuts include manufacturing, real estate, hospitality, and public-private partnership (PPP) projects—sectors that depend heavily on bank financing. El-Zayat also highlighted the macroeconomic benefits of the rate cut, pointing out that each 1% reduction could ease the state's budget deficit burden by approximately EGP 80bn. Mohamed Saada, Chairman of the Port Said Chamber of Commerce and Secretary-General of the Federation of Egyptian Chambers of Commerce, echoed this sentiment. He said the decision will lower the cost of financing, enabling small and medium-sized enterprises (SMEs) to expand and generate employment opportunities. Saada added that the rate cut will not only boost the taxable profits of companies but also reduce borrowing costs for consumers, particularly for car and home loans—stimulating broader economic activity. According to Saada, several macroeconomic signals supported the CBE's decision, including the recent appreciation of the Egyptian pound, with the U.S. dollar falling below EGP 50 for the first time since December. Furthermore, the significant gap between the current interest rate and the inflation rate, which stands at 13%, has given the Central Bank room to ease monetary policy. He noted that the move aligns with the state's current economic direction, which prioritizes investment and industrial development, while maintaining a balance between growth and inflation control. Saada also pointed to Egypt's improving external position: the balance of payments recorded a surplus of $489 million in Q2 of the 2024/2025 fiscal year, reversing a deficit of $638 million during the same period in the previous year, and $991 million in Q1 of this fiscal year. The rate cuts are also expected to shift capital from bank deposits to more productive investment channels. While real interest rates remain relatively high, Saada believes the decision will stimulate investor appetite and attract fresh inflows of direct investment. Rasha El-Qady, Chairperson of the Tourism Committee at the Egyptian Junior Business Association and a member of the Entrepreneurship Secretariat at the National Front Party, called the rate cut a strategic step to support entrepreneurship, tourism, and hospitality—particularly in light of the financial pressures faced by young business owners. El-Qady noted that easier access to financing would boost the competitiveness of startups and SMEs both locally and globally, while reducing operational costs and enhancing their ability to scale. She emphasized the importance of complementing this monetary policy shift with broader reforms, including legislative, tax, and customs incentives, as well as improved access to alternative financing tools such as incubators and venture capital. She also called for a comprehensive financing strategy tailored to emerging and small-scale tourism ventures, especially in underdeveloped regions, linking financial support to innovation, digital transformation, and local employment generation. Meanwhile, the rate cut has already impacted commodity markets. According to Gold Bullion's technical analysis, the price of 21-karat gold dropped 0.7% on Thursday, from EGP 4,670 to EGP 4,635 per gram. The firm noted that lower interest rates reduce the attractiveness of bank certificates of deposit, encouraging some capital to flow into gold as an alternative investment. Gold Bullion also warned that reduced demand for government bonds, a likely outcome of rate cuts, could lead to further depreciation of the Egyptian pound. As gold prices are closely tied to the dollar/pound exchange rate, any decline in the local currency may result in a renewed rise in gold prices.
Egypt Today
10-03-2025
- Business
- Egypt Today
China expands investment in Egypt with $60 Million industrial projects
CAIRO – 10 March 2025: Egypt is set to receive a significant boost in foreign investment as ten Chinese investors plan to launch small and medium-sized industrial projects in the country this year. With a total investment of $60 million, these projects are expected to enhance local production, create jobs, and strengthen Egypt's industrial sector. Ahmed Ezz El-Din, Chairman of the Committee for Developing Relations with China at the Egyptian Businessmen's Association, stated that discussions have been ongoing for months between these investors, the Industrial Development Authority, and the Ministry of Investment and Foreign Trade. Their objective is to expand into the Egyptian market by investing in small-scale industrial ventures that will cater to local demand and boost exports. The investors have chosen strategic locations for their factories, including the Suez Gulf, Sadat City, and 10th of Ramadan City. These areas offer strong infrastructure and accessibility, making them ideal for industrial expansion. The projects will focus on key sectors such as engineering industries, electrical appliances, textile and garment manufacturing, and building materials. These industries hold high added value and offer promising export opportunities, further positioning Egypt as a regional manufacturing hub. Ezz El-Din emphasized the rapid growth in economic relations between Egypt and China, which has led to increased interest from Chinese companies in the Egyptian market. By the end of last year, the number of registered Chinese companies in Egypt had reached 2,066, reflecting the strong investment momentum. In recent months, the Committee for Developing Relations with China has also received over ten Chinese investment delegations from various provinces. These delegations have conducted feasibility studies to explore potential partnerships with Egyptian businesses, signaling further investment opportunities. Yasser Abbas, Deputy CEO of the General Authority for Investment and Free Zones (GAFI), previously stated that total Chinese investments in Egypt have reached approximately $8 billion. He reaffirmed the government's commitment to expanding small and medium-sized industries as part of the country's broader industrial development strategy. Trade between Egypt and China has also seen steady growth, increasing by 13 percent in the first nine months of this year to reach $11.624 billion, compared to $10.283 billion during the same period last year. To further strengthen economic cooperation, the Egyptian Businessmen's Association organizes over 30 annual meetings with Chinese delegations, each including more than 40 companies. These meetings aim to explore new investment opportunities and enhance collaboration between the two nations in both industrial and service sectors. With China's growing role in Egypt's economy, these latest investments mark another step in deepening bilateral trade and industrial partnerships.
Zawya
10-03-2025
- Business
- Zawya
Housing Ministry to facilitate real estate funds in Egypt to attract foreign investment
Egypt - Minister of Housing, Utilities, and Urban Communities Sherif El-Sherbiny stated that the ministry is continuously working to develop the real estate sector to drive economic growth and provide suitable housing opportunities for citizens. This effort includes future strategies to enhance Egypt's real estate market by removing obstacles to the establishment and operation of real estate funds, attracting foreign investments, and forming joint real estate portfolios with countries such as Saudi Arabia and the UAE. El-Sherbiny emphasized that real estate funds are vital financial instruments that offer diverse investment opportunities and generate strong returns. Additionally, these funds provide liquidity to investors, enabling them to capitalize on various investment prospects. His remarks were delivered during a speech on the ministry's vision for the future of real estate development in Egypt at a business Suhoor event hosted by the Egyptian Businessmen's Association. The minister highlighted that the real estate sector is one of the main drivers of the national economy, contributing directly to job creation, economic growth, and sustainable development. He noted that the sector has witnessed an unprecedented boom, supported by Egypt's Vision 2030, which aims to achieve comprehensive and sustainable urban development. 'We are working diligently to develop a legislative and regulatory framework that supports investment, encourages innovation, and ensures a balance between supply and demand, ultimately meeting the aspirations of both citizens and investors,' El-Sherbiny stated. He further stressed that real estate development is not just about constructing buildings but about investing in the future of communities, improving quality of life, and creating modern cities that meet the aspirations of future generations. The Egyptian government, he noted, prioritizes supporting the sector by implementing policies and regulations that enhance the business environment, foster innovation, and encourage the adoption of the latest technologies in construction and urban planning. Strong Demand for Egyptian Real Estate El-Sherbiny pointed out that Egypt's real estate sector witnessed significant growth in 2024, with demand for real estate products steadily increasing. The sector's competitive advantage has strengthened purchasing power, particularly among those dealing in foreign currencies, including Egyptians living abroad and Gulf citizens, who have accounted for nearly one-third of real estate sales in recent periods. This growing demand reflects confidence in the Egyptian real estate market as an attractive investment destination, offering a wide range of residential and commercial units at competitive prices compared to other regional markets. Government policies supporting the real estate sector, along with major development projects such as the New Administrative Capital and social housing initiatives, have further enhanced the market's appeal. El-Sherbiny added that the real estate market in Egypt is witnessing significant diversity in demand across various property types, with housing being the primary driver. The estimated annual demand for residential units is around 2 million, highlighting the need to accommodate population growth and urban expansion. 'In addition to residential demand, there is also a notable increase in demand for commercial and administrative units, driven by economic growth and rising investments in trade and services. Furthermore, the hospitality sector is experiencing growing demand, especially in key tourist areas like Alamein and the Northwest Coast,' he noted. 'This diversity in demand underscores the dynamism of the Egyptian real estate market and showcases the wide range of investment opportunities available across residential, commercial, and tourism-related developments.' Government-Led Infrastructure Projects Boosting Investment Major infrastructure projects undertaken by the Egyptian government, such as new road networks and smart cities, are further driving demand for real estate units. As Egypt's economy continues to grow, investor confidence in the real estate market is rising, leading to increased demand for commercial and administrative units, particularly in strategically valuable areas. El-Sherbiny acknowledged both the opportunities and challenges facing the sector, stating, 'The government is presented with promising opportunities and challenges that require collective cooperation and joint efforts to develop an integrated and sustainable real estate ecosystem. This must be built on strategic planning and a visionary approach. This gathering serves as an ideal platform for dialogue and exchange of ideas and expertise among key stakeholders, contributing to the advancement of the real estate sector toward new horizons.' He reaffirmed that the Ministry firmly believes real estate development is not merely about constructing residential units but about a comprehensive vision to create integrated urban environments that provide a high quality of life for citizens while driving economic and social development. El-Sherbiny concluded by expressing the Housing Ministry's full commitment to collaborating with investors, real estate developers, and financial institutions to ensure a real estate boom that aligns with Egypt's national aspirations and achieves sustainable development for future generations.
Daily News Egypt
10-03-2025
- Business
- Daily News Egypt
Housing Ministry to facilitate real estate funds in Egypt to attract foreign investment
Minister of Housing, Utilities, and Urban Communities Sherif El-Sherbiny stated that the ministry is continuously working to develop the real estate sector to drive economic growth and provide suitable housing opportunities for citizens. This effort includes future strategies to enhance Egypt's real estate market by removing obstacles to the establishment and operation of real estate funds, attracting foreign investments, and forming joint real estate portfolios with countries such as Saudi Arabia and the UAE. El-Sherbiny emphasized that real estate funds are vital financial instruments that offer diverse investment opportunities and generate strong returns. Additionally, these funds provide liquidity to investors, enabling them to capitalize on various investment prospects. His remarks were delivered during a speech on the ministry's vision for the future of real estate development in Egypt at a business Suhoor event hosted by the Egyptian Businessmen's Association. Real Estate as a Key Driver of Economic Growth The minister highlighted that the real estate sector is one of the main drivers of the national economy, contributing directly to job creation, economic growth, and sustainable development. He noted that the sector has witnessed an unprecedented boom, supported by Egypt's Vision 2030, which aims to achieve comprehensive and sustainable urban development. 'We are working diligently to develop a legislative and regulatory framework that supports investment, encourages innovation, and ensures a balance between supply and demand, ultimately meeting the aspirations of both citizens and investors,' El-Sherbiny stated. He further stressed that real estate development is not just about constructing buildings but about investing in the future of communities, improving quality of life, and creating modern cities that meet the aspirations of future generations. The Egyptian government, he noted, prioritizes supporting the sector by implementing policies and regulations that enhance the business environment, foster innovation, and encourage the adoption of the latest technologies in construction and urban planning. Strong Demand for Egyptian Real Estate El-Sherbiny pointed out that Egypt's real estate sector witnessed significant growth in 2024, with demand for real estate products steadily increasing. The sector's competitive advantage has strengthened purchasing power, particularly among those dealing in foreign currencies, including Egyptians living abroad and Gulf citizens, who have accounted for nearly one-third of real estate sales in recent periods. This growing demand reflects confidence in the Egyptian real estate market as an attractive investment destination, offering a wide range of residential and commercial units at competitive prices compared to other regional markets. Government policies supporting the real estate sector, along with major development projects such as the New Administrative Capital and social housing initiatives, have further enhanced the market's appeal. El-Sherbiny added that the real estate market in Egypt is witnessing significant diversity in demand across various property types, with housing being the primary driver. The estimated annual demand for residential units is around 2 million, highlighting the need to accommodate population growth and urban expansion. 'In addition to residential demand, there is also a notable increase in demand for commercial and administrative units, driven by economic growth and rising investments in trade and services. Furthermore, the hospitality sector is experiencing growing demand, especially in key tourist areas like Alamein and the Northwest Coast,' he noted. 'This diversity in demand underscores the dynamism of the Egyptian real estate market and showcases the wide range of investment opportunities available across residential, commercial, and tourism-related developments.' Government-Led Infrastructure Projects Boosting Investment Major infrastructure projects undertaken by the Egyptian government, such as new road networks and smart cities, are further driving demand for real estate units. As Egypt's economy continues to grow, investor confidence in the real estate market is rising, leading to increased demand for commercial and administrative units, particularly in strategically valuable areas. El-Sherbiny acknowledged both the opportunities and challenges facing the sector, stating, 'The government is presented with promising opportunities and challenges that require collective cooperation and joint efforts to develop an integrated and sustainable real estate ecosystem. This must be built on strategic planning and a visionary approach. This gathering serves as an ideal platform for dialogue and exchange of ideas and expertise among key stakeholders, contributing to the advancement of the real estate sector toward new horizons.' He reaffirmed that the Ministry firmly believes real estate development is not merely about constructing residential units but about a comprehensive vision to create integrated urban environments that provide a high quality of life for citizens while driving economic and social development. El-Sherbiny concluded by expressing the Housing Ministry's full commitment to collaborating with investors, real estate developers, and financial institutions to ensure a real estate boom that aligns with Egypt's national aspirations and achieves sustainable development for future generations.
