Parliament passes bill on new export, investment guarantee agency

Cairo – October 30, 2023: The Egyptian parliament announced that it has passed the bill regarding the establishment of the Egyptian Export and Investment Guarantee Agency (EEIGA).

The EEIGA, whose draft bill was approved by the house’s economic affairs committee just two weeks ago, will replace the Export Credit Guarantee Company of Egypt (EGE). Like the EGE, the new agency aims to support the exporting sector by facilitating the process and providing credit guarantees and technical assistance.

According to a statement, the EEIGA will receive a paid-up capital of EGP 50 million and a total authorized capital of EGP 600 million.

In a previous official statement shared by the house, the paid-up capital would be distributed over 500,000 shares with a nominal value of $100. The Central Bank of Egypt will acquire all of the agency’s shares to guarantee exports at an undetermined value sometime after the bill’s approval, explained the house’s earlier statement.

At the time, Mohamed Ali, the Deputy Chairman of the Economy Affairs committee stated that the new agency is within the government’s efforts to support the local exporting sector and promote investments.

The bill’s approval comes as Egypt continues to up its efforts in bolstering the exporting sector to meet its goal of reaching $100 billion within the next few years.

Within the last decade, the country’s export sector was provided around EGP 40.7 billion by the government to support the sector in order to meet its ambitious goals, according to a report by the Central Agency for Public Mobilization and Statistics (CAPMAS) earlier in October.

Egypt’s total exports of locally-made products were valued at $143.1 billion during the past 10 years.

Last week, Prime Minister Mostafa Madbouly met with several ministers to discuss methods of improving exports, supporting production sectors, and increasing job opportunities, underlining the government’s commitment to developing and enhancing trade with African countries.