Egypt’s government signed contracts worth a total of USD 1.9 billion (EGP 58.7 billion) to sell stakes in state assets, announced Prime Minister Mostafa Madbouly in a press conference. This is the government’s first major step in its plans to stimulate the private sector and generate much-needed hard currency. The move also aligns with the conditions set in its loan agreement with the International Monetary Fund (IMF) approved in December 2022. USD 1.65 billion (EGP 50.9 billion) of the contracts will be paid in foreign currency, boosting the country’s foreign reserves and easing the prolonged pressure on the Egyptian pound. The government’s latest sale is considered the second wave of the privatization program, having already sold stakes in Paint and Chemicals Industries and Telecom Egypt for a collective total of USD 147.5 million (EGP 4.4 billion) on 15 May. WHAT WAS SOLD? The Egyptian government sold stakes in three state assets comprising drilling, steel, petrochemical companies, and state-owned hotels, announced Minister of Planning and Economic Development, Hala El-Said, in the same press conference. Stakes ranging from 25 to 30 percent in petrochemical state companies, ETHYDCO and ELAB, and drilling company,…
Egypt Sells Stakes in State Assets for $1.9 Billion Amid Privatization Reforms
July 12, 2023
