Egypt has received investments totaling $11 billion from development partners since 2020, according to Minister of Planning and Economic Development (MPED) Rania Al Mashat.
She emphasized the importance of private sector involvement in driving sustainable growth and maximizing the impact of development partners on the national economy.
Al Mashat announced during a press conference today that the government has divested from Tamweely Microfinance to an international consortium of investors.
This divestment aligns with the State Ownership Policy Document’s objective to improve economic efficiency and attract private investment. The minister explained that this move represents a practical application of efforts to govern economic activities and implement the State Ownership Policy Document.
It was revealed that an international consortium, including the European Bank for Reconstruction and Development (EBRD), the British International Investment (BII), private equity funds like SPE Capital, and Tamweely Capital Ventures (TCV), now owns 100 percent of the shares of Tamweely Microfinance, previously held by NI Capital and Ayadi (subsidiaries of the National Investment Bank and Post for Investment).
Al Mashat emphasized that this divestment is integral to Egypt’s three-year economic program, aimed at creating a competitive investment environment, increasing foreign direct investment, and ensuring sustainable economic growth. The program focuses on supporting micro, small, and medium-sized enterprises (MSMEs), which comprise about 98 percent of Egypt’s 3.4 million private sector businesses. The goal is stimulating economic expansion and job creation by directing investments into this critical sector, offering a promising outlook for the future.
The minister also highlighted the launch of the Hub for Advisory, Finance & Investment for Enterprises, a platform designed to facilitate private sector engagement by providing comprehensive information on financing tools and support services.
Al Mashat reiterated the Ministry’s unwavering commitment to improving investment efficiency and maximizing the benefits of government investments. By strategically divesting government-held stakes and fostering private-sector engagement, Egypt aims to pave the way for economic growth driven by private investments in alignment with the country’s overarching vision for economic advancement. This commitment ensures stakeholders of Egypt’s dedication to their economic prosperity.
