CAIRO - 20 December 2023: The Egyptian Cabinet would announce Wednesday the completion of a significant deal within the offerings program, Minister of Finance, Mohamed Maait, stated.
Maait clarified that the Prime Minister would disclose the details of the offerings plan in the coming period.
This was mentioned during the Finance Minister's speech at the Hapi newspaper conference titled "Investing in Potential Energies," held on Wednesday in Cairo.
Egypt aims to list 32 companies within the government offerings program. In June, the government contracted with the International Finance Corporation (IFC) as a strategic advisor for the offerings program, including preparing 50 government-owned companies for listing.
The government targets increasing the private sector's contribution by 65 percent of the total executed investments over the next three years.
Prime Minister Mostafa Madbouly met on Tuesday at the government headquarters in the New Administrative Capital with a delegation from the International Finance Corporation. They reviewed the developments in the mutual cooperation between the government and the international institution for implementing the government offerings program.
Attending the meeting were Rania Al-Mashat, the Minister of International Cooperation, Sergio Pimenta, Deputy Head of the International Finance Corporation for Africa, Sheikh Omar Cila, the Regional Director for North Africa and the Horn of Africa, and Nivan Mortaji, the Regional Director for Africa's Operations Sector.
The Prime Minister began the meeting by indicating that the meeting is part of the periodic follow-up on the developments of the offerings program, which the Egyptian state attaches special importance to as a tool to empower the private sector and increase its contribution to the Egyptian economy. He affirmed that this is in line with the directives of President Abdel Fattah El-Sisi, the President of the Republic, in this regard.
The Prime Minister praised the significant role played by the International Finance Corporation as the government's advisor for the offerings program.
The Prime Minister also commended the collaborative efforts made over the past period, both from the government represented by the Ministry of International Cooperation and the Offerings Unit affiliated with the Cabinet, and the International Finance Corporation, to implement the agreement's provisions.
He clarified that the government received from the International Finance Corporation a proposal that includes an executive plan for the technical and financial aspects of listing companies in the targeted sectors in the first phase of the offerings program. He pointed out that there are discussions to add new sectors to the program.
Prime Minister Mustafa Madbouly emphasized that the most crucial issue now regarding the offerings of government companies is to provide a real assessment of these assets according to the scientific standards prevailing in global markets. This is to multiply the return from selling these assets and maximize their benefits, ensuring they are not sold for less than their true value.
For her part, Rania Al-Mashat, the Minister of International Cooperation, noted that the government offerings program is part of the state's policy document announced in December 2022. Its aim is to empower the private sector.
She pointed out that the agreement appointing the International Finance Corporation as the government's advisor for offerings was negotiated by the Ministry of International Cooperation and the International Finance Corporation in coordination with the Offerings Unit affiliated with the Cabinet. She highlighted that cooperation continues between the two sides to provide comprehensive studies on the assets to be offered, maximizing their benefits.
During the meeting, Sergio Pimenta, Deputy Head of the International Finance Corporation for Africa, praised the full support that the International Finance Corporation receives from the Egyptian government. This support ensures the success of the offerings program, commending the continuous Egyptian efforts to implement the structural reform program, contributing to enhancing the role of the private sector and creating a favorable business climate for all investors in global markets.
Pimenta indicated that the Egyptian market is an attractive investment market, affirming what a large number of investors in various global markets have observed.
The officials of the International Finance Corporation confirmed during the meeting that announcing the developments of the offerings program gives global confidence in the Egyptian economy. Talking about adding new sectors will find great popularity among global investors.
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