Egypt anticipates increased Japanese investments, green hydrogen collaboration: FM to Japan’s PM

CAIRO – 23 August 2024: Egypt is eager to enhance economic and trade relations with Japan in alignment with their strengthened political bonds, Minister of Foreign Affairs Badr Abdelatty stated on Friday.

Meeting with Japan’s Prime Minister Fumio Kishida in Tokyo, Abdelatty extended an invitation for Japanese enterprises to leverage the Egyptian Hydrogen Strategy,

The foreign minister is currently on a visit to the Japanese capital to participate in the Tokyo International Conference on African Development (TICAD) Ministerial Meeting scheduled for August 24-25.

In the meeting, the foreign minister pushed for increased Japanese investments in the Egyptian market, reiterating Egypt's interest in exploring new avenues of economic collaboration with Japan, particularly in the realm of climate change.

Egypt eagerly anticipates Japanese companies benefiting from Egypt’s recently launched National Low Carbon Hydrogen Strategy, Abdelatty said. highlighting the nation’s investment incentives and the remarkable infrastructure growth witnessed in recent years.

He also encouraged Japanese companies to establish a presence in the Suez Canal Economic Zone.

Abdelatty underscored Egypt’s commitment to broadening cooperation with Japan in emerging fields such as artificial intelligence, governance, and fostering collaboration between the two countries' institutions and think tanks to facilitate the exchange of expertise.

Additionally, he emphasized the importance of enhancing Japanese tourism to Egypt.

Prime Minister Kishida conveyed his regards to President Abdel Fattah El-Sisi, commending his influential role in various regional matters and international forums.

Kishida emphasized Egypt's significance as a crucial partner for Japan, given its pivotal role in the Middle East region.

 

Firm economic relations

Japanese investments in Egypt doubled in 2022, with about 50 Japanese companies currently operating in the country, said Yukiko Okano, Deputy Press Secretary of Japan’s Ministry of Foreign Affairs, last year.

Okano highlighted that the bilateral trade volume between the two nations stands at $1.3 billion.

Egypt and Japan collaborate on various mega projects, notably the Grand Egyptian Museum (GEM) under construction in Giza.

The Japan International Cooperation Agency (JICA) is financing the GEM's construction with around $800 million through two official development assistance (ODA) loans, in addition to providing support for the transportation of artifacts and other activities associated with the giant museum.

Furthermore, Japan has aided Egypt in its metro infrastructure. In 2023, JICA and Egypt signed a loan agreement for a 100,000 billion yen loan (around $685 million) for the first phase of Greater Cairo Metro Line 4.