Ahmed Kamel – Egypt Daily News
President Abdel Fattah El-Sisi said Egypt will continue to expand the role of the private sector and press ahead with its government asset sale program, outlining a broad strategy to attract foreign investment as part of what he described as a push to “move decisively toward the future.”
Speaking at the World Economic Forum in Davos, President El-Sisi reaffirmed Egypt’s commitment to implementing the State Ownership Policy Document and the government’s privatization program, which aims to reduce the state’s footprint in economic activity by offering stakes in state-owned companies to private investors.
Reducing state participation in the economy was a central pillar of Egypt’s agreement with the International Monetary Fund, which approved an $8 billion financing package for the country in March 2024. While progress on the program was limited over the past year, momentum appears to be building. The head of the Egyptian Exchange, Islam Azam, said in recent remarks that around 10 state-owned companies are now ready for listing as part of the government’s offering plan.
Positioning Egypt as a regional investment gateway, President El-Sisi highlighted the country’s extensive network of free trade agreements with African and Arab states, saying they significantly enhance the appeal of the Egyptian market for foreign investors and provide access to a wide range of regional markets.
He stressed that Egypt is offering targeted incentives to investors, particularly in energy, automotive manufacturing, logistics, and artificial intelligence. According to President El-Sisi, these measures have already helped increase private investment flows into the domestic market and contributed to recent upgrades in Egypt’s sovereign credit ratings by international agencies.
The president also pointed to massive state investment in infrastructure as a key driver of investor confidence. Over the past decade, Egypt has invested around 2 trillion Egyptian pounds in infrastructure projects, including roads, bridges, railways, electricity networks, and port facilities, according to previous government statements.
As part of its industrial strategy, Egypt is developing seven major logistics corridors to link seaports with industrial zones. One flagship project connects Ain Sokhna on the Red Sea with Alexandria on the Mediterranean, creating a strategic trade artery designed to support manufacturing, exports, and regional integration.
Beyond physical infrastructure, El-Sisi underscored the importance of investing in human capital. He said education has been a central focus of Egypt’s development plans to ensure the availability of skilled labor capable of supporting advanced industries such as artificial intelligence and electric vehicles.
“We have prepared young, educated, and technologically qualified talent to meet the needs of future investments,” President El-Sisi said, adding that Egypt’s outsourcing and business services sector is now among the most competitive globally.
On regional politics, President El-Sisi welcomed U.S. President Donald Trump’s efforts to end the conflict in Gaza and praised the announcement of the second phase of the Gaza plan. Trump announced last week the launch of the next phase of the ceasefire agreement, voiced support for a new technocratic administration in Gaza, and revealed the formation of a “Peace Council” for the territory.
President El-Sisi reiterated Egypt’s long-standing call for a two-state solution as the only viable path to a just and lasting resolution of the Palestinian issue, urging adherence to international legitimacy. He said any settlement must lead to the establishment of an independent Palestinian state along the June 4, 1967 borders, with East Jerusalem as its capital.
He also highlighted the economic cost Egypt has borne as a result of regional instability, noting that the country lost an estimated $9 billion in direct revenues from the Suez Canal over the past two years. Despite these losses, he said, Egypt chose to play a constructive role focused on preventing escalation, working to stop the war, and mitigating its humanitarian consequences.
President El-Sisi pointed to Egypt’s diplomatic efforts, including the Sharm El-Sheikh conference held in October 2025 on the Gaza war, which lasted two years. “We hope that our positive role will be crowned with the success of the second phase,” he said, adding that Egypt and the international community are offering full support to ensure its implementation.
Taken together, President El-Sisi’s Davos remarks sought to present Egypt as a reform-oriented economy open to private capital, a regional trade hub with deep infrastructure foundations, and a political actor committed to stability at a time of heightened regional and global uncertainty.
