Egypt’s PM reviews progress on public business sector developments

Prime Minister Mostafa Madbouly held a meeting with Mohamed Shimi, Minister of Public Business Sector, on Tuesday evening to discuss the ongoing developments in public business sector companies. The meeting aimed to review the progress of various development projects and assess their impact on Egypt’s economic growth.

During the meeting, Madbouly reaffirmed the government’s commitment to maximising returns on state-owned assets, considering this a key priority for the country’s economic development. He stressed that plans to enhance the performance of public business sector companies remain a central focus for the administration.

Key Chemical Industry Developments

Minister Shimi outlined progress on key projects within the Chemical Industries Holding Co, including the Kima 1 rehabilitation project, which involves new production units for ammonium nitrate and nitric acid with an investment of 278.3 million dollars and 6.4 billion Egyptian pounds. He also highlighted the rehabilitation of the ferroalloy plant to produce silicomanganese alloys.

Delta Fertilisers and Chemical Industries Developments

The minister also provided updates on Delta Fertilisers and Chemical Industries, located in Talkha, Dakahlia Governorate, where development is being carried out in two phases. The first phase focuses on maintenance work to ensure environmentally compliant operations, while the second phase will increase production capacities in partnership with a strategic investor, with an investment of 450 million euros.

Nasr Fertilisers Projects

Other notable initiatives discussed include the industrial wastewater treatment project at Nasr Fertilisers, which aims to cover 85 per cent of the company’s water needs. Additionally, Shimi outlined the establishment of a green ammonia production plant at Nasr Fertilisers, aligning with Egypt’s green economy strategy and including a 400 MW renewable energy station and a seawater desalination plant.

Nasr Automotive and Bus Production Updates

The development of Nasr Automotive was also addressed, with progress on the manufacture and supply of buses for East and West Delta companies. The rehabilitation of Factory 4 at Nasr Automotive is 95 per cent complete, with an investment of 675 million Egyptian pounds and 3 million dollars, focusing on passenger car production.

Aluminium Wire Production

In the aluminium sector, Shimi detailed a project at Aluminium Company of Egypt (Egyptalum) to produce aluminium wire, with an initial capacity of 60,000 tons per year. The project is expected to be fully operational by mid-March 2025, with an investment of 17 million dollars.

Pharmaceutical Industry Developments

Shimi also reviewed initiatives in the pharmaceutical sector, including projects to comply with Good Manufacturing Practices (GMP) and global health standards. These include the localisation of biological products manufacturing by Nile Pharmaceuticals and efforts to produce insulin, as well as other pharmaceutical products.

Tourism Sector Developments

In the tourism sector, the minister highlighted the renovation of the Continental Hotel, with an investment of nearly 8 billion Egyptian pounds, as well as the restoration of the Shepheard Hotel, which will provide 269 rooms and suites.

Construction Sector Progress

Shimi reviewed developments in the construction sector, focusing on resolving stalled projects and ongoing construction efforts. These developments are part of the broader government strategy to improve and modernise state-owned assets and companies, boosting economic growth and positioning Egypt for further investments.

Textile Industry Developments

The minister also reviewed the ongoing development of textile companies under the Holding Company for Cotton, Spinning, and Weaving. These include:

• Misr Spinning and Weaving in Mahalla: With a cost of 9.1 billion Egyptian pounds for construction, and 289.5 million euros for equipment and machinery.
• Misr for Spinning and Weaving Kafr El-Dawwar: With a construction investment of 8.3 billion Egyptian pounds, and equipment costing 129.65 million dollars.
• Damietta for Spinning and Weaving Company: With construction costs of 4.6 billion Egyptian pounds and equipment investments of 71.7 million euros.
• Misr Helwan Spinning and Weaving: With a construction cost of 2.5 billion Egyptian pounds and equipment investments of 29 million euros.
• Upper Egypt for Spinning and Weaving: With construction costs of 1.1 billion Egyptian pounds and equipment investments of 19 million euros.

Additionally, the Prime Minister emphasised the importance of private sector partnerships in developing textile companies to improve operations and management after their upgrade.

These developments are part of the broader government strategy to improve and modernise state-owned assets and companies, boosting economic growth and positioning Egypt for further investments.

Attribution: Amwal Al Ghad English

Subediting: M. S. Salama