EGYPT : Land of Opportunities
In Feb 2017, PricewaterhouseCoopers’ report predicts that Egypt will be the world's 19th largest economy by 2030 (jump up from its current 21st place). By 2050, it is expected to have 4.1% GDP growth.
The findings suggest a rise in startup activity due to a drop in the cost of starting a business in the country. Investment opportunities that open up to foreign countries also help create this boost.
Several countries are also heavily invested in Egypt. This includes United Kingdom, United States, Germany, etc. For examples:
After Egypt successfully extended the Suez Canal in August 2015, Egyptian president Abdel Fattah el-Sisi announced a comprehensive project to develop the Suez Canal zone and the network of tunnels running underneath the Suez Canal. This Suez Canal zone would feature establishment of a large seaport east of Port Said, an industrial zone, a logistical zone for servicing ships, a residential zone and a fourth area for fishing farms.
- On 1 March 2017. President Abdel Fattah Al-Sisi and German chancellor Angela Merkel inaugurate today the first phase of the three Siemens power plants in Beni Suef, Borollos, and the New Administrative Capital to add adding 4,800 MW to the national grid The entire project is worth 6 billions Euro.
- In August 2015,Zohr gas field was discovered. With estimate reserve of 30 triillion cubic feet of lean gas, it is touted to be the biggest gas field discovery in the Mediterranean sea. Zohr Development project to tap natural gas from beneath the Mediterranian to meet the growing demand for gases in Egypt as well as in Europe and Asia. The estimated investment is US$12 billions.
Other attractions for Foreign Direct Investment, according to World Investment Report 2015 by UNCTAD, include:
- Several sectors benefits from the government’s incentive and guarantees, such as zero tax over the lifetime of a project.
- Opportunities to invest in Egyptian Communication and information sector, which enjoys the highest growth rate in the world.
- Significant needs in marketing, consulting and surveying and modeling go together with the current policy of major construction work.
- Egypt’s public works policy, such as the third metro line construction, the port of Sokhna’s expansion and improvement and renovation of the rail network.
- Privatization program is planned for the banking, telecommunication, textile, transport and chemical sector. As of 2015, nearly 150 companies are yet to be privatize.
With these opportunities, several head of states led delegates of hundreds of businessmen and women from their countries to establish economic tied and investigate investment opportunities in in Egypt 2016. These included visits from China Xi Jinping, President of France Francois Hollande, Bahrain's King Al-Khalifa, Germany’s Vice Chancellor Sigmar Gabriel, etc. President Abdel Fattah el-Sisi also visited and met more head of states in Europe to establish economic tied and collaboration, such as King Felipe VI of Spain, Hungarian Prime Minister Viktor Orbán, etc.
For the first seven months of 2016, Egypt’s Foreign Direct Investment already ranks #5 in the world, total US$ 20.78 billions. Significant increase if one considers that Egypt’s FDI was US$ 11.5 billions in 2015. Apparently, the Government policies to increase FDI is working.
The sun always shines bright here.
So come to Egypt with your eyes open for both sight seeing and investment opportunities.
Dr. Chonchanok Viravan
International Congress Coordinator