Egypt’s Cabinet outlines EGP 30B initiative to foster industrial sector
Updated 1/2/2025 11:46:00 AM
Arab Finance: Prime Minister Mostafa Madbouly unveiled a new initiative worth EGP 30 billion to support Egypt’s industrial sector over the next five years, according to an official statement.
The plan targets developing new factories and expanding existing ones, where the investor will bear only 15% of the interest rate, while the state will hold the remaining value.
This coincided with the recently received €1 billion loan from the European Union (EU) on December 20th to support Egypt’s economic development.
Furthermore, Madbouly indicated that the first phase of the spinning and weaving project in El Mahalla El Kubra has been executed, noting that the second and third phases will be completed during 2025.
The state is spending about EGP 56 billion on the development operations of this facility, according to the prime minister.
During his speech, Madbouly also underlined Egypt’s efforts in the automotive industry, highlighting the agreement signed between the MG Group and the Chinese SAIC Motors to establish a new factory in Egypt.
Madbouly referred to the results of the first quarter (Q1) of the fiscal year (FY) 2024/2025, during which the Egyptian economy recorded a growth rate of 3.5%.
He said the private sector's total investments reached 63.5% of total investments during this period, as its share from soft financing increased to $4.2 billion from $2.9 billion.
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