Egypt’s privatization program is now targeting $1 billion from stake sales of state-owned companies by the end of the year, with expectations to raise around $1.5 billion in 2025, according to Minister of Planning and Economic Development, Hala El Said.

The new target is significantly lower than the program’s previous successes, with the program securing around $5.6 billion between April 2022 and the end of last year.

The program, centered on selling the government’s stakes in state-owned companies through strategic investors or IPOs on the stock exchange, was previously targeting around $6.5 billion by the end of 2024, according to Finance Minister Mohamed Maait in February.

In February, the International Monetary Fund appeared to moderate its stance regarding the urgency for Egypt to accelerate the sale of its state-owned assets ahead of announcing its decision to expand its $3 billion loan to Egypt to $8 billion.

IMF Managing Director Kristalina Georgieva stated that "the situation in Gaza has exerted pressure on Egypt, including its state asset sales program," emphasizing the importance of selling assets at the right moment and cautioning against rushing to divest shares in state-owned companies given the current circumstances.

El Said explained that the government will maintain ownership of the buildings while granting permission to certain parties to use the properties for an agreed amount of time.

The PlanningMin added that Egypt has attracted interest from 7 international companies to utilize the former headquarters of several ministries in the Downtown area.

The Tahrir Complex has already been designated for Marriott, and an agreement has been struck with another party for the old Ministry of Interior building, according to El Said.

The government assigned ownership of multiple ministerial headquarters to the Sovereign Fund of Egypt earlier this year. The ministries included The Ministry of Foreign Affairs, Trade, Tourism, Transport, Justice, Education, Housing, Health, Supply, Social Solidarity, and Military Production.

El Said also confirmed that the state aims to finalize the stake sale of the Gabal El Zeit and Zafarana wind farm in the coming 3-4 months.