Ahmed Kamel – Egypt Daily News
Egypt has completed a major phase of its economic reform drive, finalizing an updated State Ownership Policy and approving the structure of a new unit responsible for restructuring state-owned enterprises (SOEs). The steps mark important progress in meeting structural commitments under the country’s $8 billion program with the International Monetary Fund, as an IMF mission continues its review in Cairo.
Prime Minister Mostafa Madbouly chaired the final review session for the revised State Ownership Policy, joined by senior economic officials including Planning and Economic Development Minister Rania Al-Mashat and Investment and Foreign Trade Minister Hassan Al-Khatib. The updated policy is designed to clarify the state’s role in the economy, define sectors in which government activity will be reduced or withdrawn, and strengthen the framework for greater private-sector participation.
In parallel, Madbouly approved the organizational blueprint of the newly established SOE Restructuring Unit, a body tasked with overhauling the way Egypt manages and monetizes its vast portfolio of public enterprises. According to Cabinet spokesperson Mohamed Al-Homsani, the unit will serve as the central authority overseeing all restructuring procedures, coordinating with ministries to prepare SOEs for sale, partnership, or listing on the financial market. Its mandate includes improving operational efficiency, enhancing financial discipline, and strengthening transparency across the state-owned sector.
Madbouly emphasized that expanding the private sector’s role remains a cornerstone of Egypt’s long-term economic vision. He underscored the need for clear, measurable indicators to assess the impact of reforms on competitiveness, job creation, and market neutrality. A significant portion of the meeting focused on enterprises slated for near-term divestment or IPOs, with officials discussing ways to accelerate these transactions and remove administrative bottlenecks that have delayed progress.
The government describes the new Restructuring Unit as a tool for balancing efficiency with strategic oversight. While some assets will be prepared for sale to domestic and international investors, others deemed vital to national security or economic stability will remain under state control. Officials say this differentiated approach aims to maximize economic performance while safeguarding core national interests.
By bolstering transparency, clarifying ownership policy, and streamlining divestment processes, Cairo hopes to strengthen investor confidence and signal its commitment to meeting IMF benchmarks. The reforms are expected to support sustainable growth and modernize a state enterprise sector that has long been criticized for inefficiency, underinvestment, and limited private-sector engagement.
