Egypt's Minister of Investment and Foreign Trade Hassan El-Khatib announced that private sector investment rose 73% over the past year and continued to increase by 48% in the first quarter of this year. These statements came during meetings with the European Bank for Reconstruction and Development (EBRD) on the sidelines of the World Economic Forum in Davos. The ministers discussed boosting the bank's investments in Egypt and enhancing the national economy's competitiveness.
During meetings held on Wednesday on the sidelines of the World Economic Forum in Davos, Minister Hassan El-Khatib and Finance Minister Ahmed Kouchouk met with EBRD officials to discuss increasing the bank's investments in Egypt. El-Khatib attributed the investment surge to economic reforms implemented over the past 18 months, which have improved key macroeconomic indicators and fostered trust within the business community.
As part of a new initiative to optimize state resources, El-Khatib announced that the government plans to repurpose former state-owned buildings into leading hotel and service projects. This aims to generate dollar revenues, create investment opportunities, and promote sustainable economic development. The ministers emphasized the government's goal of establishing a fair competitive environment that enables the private sector to drive economic growth.
The discussions centered on a comprehensive support package for Egyptian companies, focusing on improving energy efficiency, accessing new markets, and fostering sustainable export growth. Kouchouk highlighted Egypt's tax reform as a successful model for building taxpayer trust, noting a 35% increase in tax revenues—the highest in years—achieved through voluntary compliance and settling outstanding cases without imposing new financial burdens.
EBRD representatives affirmed the bank's commitment to supporting Egypt's export programs and infrastructure projects. They expressed readiness to facilitate the transfer of international expertise and provide technical assistance to Egyptian firms in energy and resource efficiency to boost regional and global competitiveness. The meeting also addressed raising foreign direct investment targets, with El-Khatib stressing that sustained momentum relies on ongoing structural reforms and an improved overall investment climate.