Egypt supports local green hydrogen, automotive industries

Egypt’s Prime Minister Moustafa Madbouly has emphasised that his government is prioritising the industrial sector as a strategic measure to safeguard foreign reserves. This commitment underscores the importance of industry in Egypt’s economic stability and growth.

The Prime Minister said his government shall launch initiatives to create an attractive investment environment, especially for green hydrogen and automotives industries.

To this effect, Dr Madbouli told reporters, the government has prepared industry development programmes customised for each province to utilise the capabilities of province-related industries like furniture in Damietta, food processing in Gharbeya, Delta, and the like.

The Prime Minister noted that Egypt typically receives around $12 billion annually in foreign direct investment. He emphasised that 2024 was exceptional due to the Ras El Hekma deal, which greatly boosted investment figures.

In order to achieve a growth rate of 6-7 per cent annually, foreign direct investment needs to double to over $22 billion per year, the PM said, highlighting the importance of a strong industrial sector to reach this target.

Madbouly highlighted that foreign investors value Egypt’s favorable laws and incentives. However, they seek transparency on financial and tax policies, and fees.

He emphasised that addressing these concerns is a top priority for the government, which plans to announce policies to boost foreign direct investment.

Egypt offers a promising market with ample opportunities for success. Investors prioritise stability, profitability, and long-term government policies, according to Madbouly.

Attribution: Cabinet statement