RIYADH: Egypt is set to accelerate its initial public offering program, with plans to propose stakes in at least 10 state-owned companies next year, according to Prime Minister Mostafa Madbouly.
In a Facebook post, the Egyptian prime minister’s office said that some of the companies which will float its shares include Wataniya Co., Safi Co., Silo Food Co, and 580-megawatt wind farm Gabal El Zeit.
The PM office added that shares of state-owned Alexandria Bank and Banque du Caire will also be included in the upcoming offerings.
The announcement made by Madbouly indicates new efforts from the government to divest some of its assets to strengthen the country’s private sector and fiscal capabilities.
Earlier this month, Egypt’s United Bank completed the public and private offering of 330 million shares, representing 30 percent of its issued capital.
The United Bank offering raised a total of 4.57 billion Egyptian pounds ($90 million).
Other companies that will be listed in 2025 include CID Pharma, Misr Pharma, and Alamal Alsharif Plastics.
Regarding tourism growth, Madbouly said that Egypt had a succesful year despite regional crises and geopolitical tensions.
“This year, we will exceed 15 million tourists despite all the challenges that have affected the arrival of tourists in the region, but Egypt is on a good track in this area, and the numbers will be better next year,” said the prime minister.
He added: “We are working in the tourism sector strongly, and we are moving ahead to increase hotel rooms, and improve the tourist experience in Egypt.”
In the Facebook post, the PM’s office also highlighted the progress of the electricity connection project between Saudi Arabia and Egypt.
He added that the work at the Badr converter station is 65 percent completed, with the first phase of the project’s wiring process expected to be completed before the next summer season.
The prime minister further said that Egypt’s inflation rate fell to 25.5 percent in November, a significant decrease in this index over the past two years.
In September 2023, the inflation rate in Egypt had increased to an all-time high of 38 percent.
Madbouly added that the country’s reserve cash index has also improved, reaching $47 billion in November.
Earlier this month, a report released by Fitch Ratings echoed the economic revival of Egypt. It highlighted that the general business and operating conditions for financial institutions in the country are expected to improve next year.
The US-based agency added that falling inflation, improved investor confidence, and healthy foreign currency liquidity conditions are some of the major factors that could strengthen the banking sector in Egypt in 2025.