Egypt’s sovereign fund launches industrial investment sub-fund

The Sovereign Fund of Egypt (TSFE) launched an industrial investment sub-fund on Tuesday with paid-up capital of 500 million Egyptian pounds and authorised capital of 10 billion pounds, Investment and Foreign Trade Minister Mohamed Farid said.

The sub-fund aims to diversify financing and investment tools available to Egypt’s industrial sector, improve its efficiency and sustainability, and attract new investments for production, manufacturing and exports, Farid said.

Farid, who is also chairman of TSFE, said the sub-fund would invest in companies operating in various industrial sectors following feasibility studies and approval by TSFE’s Investment Committee.

The investments aim to strengthen companies’ production and competitiveness, support their expansion and growth, and increase their ability to export, he said.

The sub-fund could also support partnerships with global industrial companies to establish new projects or develop and expand existing ones, Farid said.

Its investment focus includes industrial sectors with export and growth potential, such as automotive components and feeder industries, electronics and electrical appliances, food and beverages, textiles and ready-made garments, and pharmaceuticals.

The sub-fund’s investment policy is based on partnerships with the private sector and investment institutions, either through direct investments in companies or indirectly through partnerships with investment banks to establish other industrial investment funds.

It can also invest in industrial assets, land, and buildings, Farid said.

By Radwa Islam & Youlita Ashraf
Amwal Al Ghad English — Internship Training Programme
Edited by Yomna Yasser