The PM pointed out the significant opportunities available for public business sector companies, either through public listings on the Egyptian stock exchange or by attracting strategic investors.
Following up on the latest updates on the government’s Initial Public Offering (IPO)/privatization program, Prime Minister Mostafa Madbouly emphasized the government’s commitment to supporting the program as a key component of economic reform.
The goal is to expand the ownership base and empower the private sector to increase its participation in various economic activities across Egypt, Madbouly stated during a Tuesday meeting with several ministers.
The PM pointed out the significant opportunities available for public business sector companies, either through public listings on the Egyptian stock exchange or by attracting strategic investors.
To enhance the efficiency of state-owned enterprises, the government is working closely with specialized institutions to improve governance, transparency, and competitive neutrality—ensuring the best returns on state assets, according to an official statement from the Cabinet.
Currently, the Investment Ministry is overseeing the transfer of the administration of all state-owned companies to the Sovereign Fund of Egypt (SFE), which is now under the ministry’s supervision. A committee has been established by the SFE to assess the financial and structural status of state-owned firms.
The first phase of this transition will prioritize companies that demonstrated profitability in FY2024/2025 and have straightforward ownership structures. This approach aims to bypass entities entangled in complex ownership agreements between various government agencies, banks, and other institutions.
The meeting also reaffirmed the importance of continuing the program to expand the ownership base on the Egyptian stock exchange, attract direct investment, and ensure diversification across different economic sectors. Officials underscored that the program plays a crucial role in meeting the state’s financial needs, increasing private sector involvement in economic activities, and boosting public-private investments in the coming years.
Madbouly further explained that the government is following a structured timeline that considers key factors such as the readiness of companies for offering and the optimal timing based on local and global market conditions.
Cabinet spokesperson Mohamed El-Homsany reported that the meeting reviewed the current status of the public offerings program. Discussions included the offerings completed so far, those expected to take place this year, and the ongoing preparations for new offerings across various economic sectors.
The meeting was attended by Minister of Electricity and Renewable Energy Mahmoud Esmat, Minister of Finance Ahmed Kouchouk, Minister of Public Business Sector Mohamed Shimi, Minister of Investment and Foreign Trade Hassan El-Khatib, CEO of the General Authority for Investment and Free Zones Hossam Heiba, and other relevant officials.
