Egypt is pursuing an ambitious national economic program to boost investment competitiveness through digital transformation, structural reform, and more effective management of state assets, according to Minister of Investment and Foreign Trade Hassan El-Khatib.
Speaking to Asharq Al-Awsat on the sidelines of the IMF and World Bank meetings, El-Khatib highlighted the government’s progress since taking office a year and three months ago.
“In this short period, we have done far more than what was achieved in three years under the previous IMF program,” he said. “When monetary policy is sound, inflation falls, capital inflows improve, and foreign reserves strengthen. These are signs that correct policies lead to positive results.”
The interview followed El-Khatib’s meetings with senior representatives of J.P. Morgan, Starlink, and Fitch Ratings, during which he outlined measures designed to stimulate investment, clarify Egypt’s structural reform agenda, and present what he called the “lost opportunity” roadmap for better management of state assets.
El-Khatib explained that his discussions with international investors, banks, and ratings agencies aimed to clarify the government’s reform priorities across monetary, fiscal, and trade policy, as well as the state’s evolving role in the economy. He said major investment banks already have a good understanding of the economic situation in Egypt, but need to hear directly about the government’s structural reform plans and overall direction.
Fitch recently affirmed Egypt’s long-term foreign currency rating at “B” with a stable outlook, while Standard & Poor’s raised its sovereign rating to “B” from “B-,” also with a stable outlook. El-Khatib also confirmed talks with Starlink on entering the Egyptian market, promising support to help the company secure the necessary licenses.
He emphasized that the government has established a clear national program to ensure coordination between the central bank, the Ministry of Finance, and the Ministry of Investment.
On the monetary front, the strategy is centered on using a flexible exchange rate to contain inflation and create a stable environment for investors. Inflation has already fallen from 40 percent two years ago to 12 percent today, and the government aims to reduce it further to between 7 and 9 percent by the end of next year.
In terms of fiscal policy, El-Khatib pointed to a major shift in the relationship between taxpayers and the tax authority, built on trust and credibility. This has translated into a 35 percent increase in tax revenues in just one year — a record level — alongside the submission of tax filings by more than 100,000 companies. He also noted that the government is actively working to lower fees and ease burdens to enhance competitiveness.
Digital transformation is another central pillar of the reform agenda. A temporary licensing platform launched in June now links 41 government bodies and offers 389 licenses online. The number of services will soon increase to 460, and the platform will be renamed “Services Platform.” All steps for company registration, licensing, and daily operational requirements will be handled through this single portal. The platform will be rolled out in phases over the next two years.
Trade facilitation has also seen progress. Customs clearance times have been reduced by 63 percent in just over a year, with the ultimate goal of cutting time and cost by 90 percent, eventually bringing the process down to only a few hours.
Egypt also aims to join the World Bank’s Business Ready Report by 2026 and rank among the world’s top 50 countries in trade and investment competitiveness. To achieve this, the government has held 37 interagency meetings, identified challenges through 1,700 questions, and designed a reform matrix comprising 209 measures, with the majority focusing on legislative and regulatory frameworks affecting 270 economic activities.
The minister underscored the importance of both domestic and foreign direct investment for driving growth. Saudi investments in Egypt currently stand at $25 billion, but Cairo is seeking to diversify, attracting capital from the United States, Europe, Asia, and the Gulf region. Sectoral plans covering the next two decades are being drawn up to generate ready-to-implement projects. For example, in tourism, Egypt intends to double visitor numbers by upgrading infrastructure and providing fully approved land plots, enabling projects to start within three months of approval.
El-Khatib concluded by highlighting Egypt’s political stability, clear foreign policy, competitive production costs, and strategic location, reinforced by extensive infrastructure investment. These factors, he said, position the country strongly to attract and localize industries aimed at boosting exports.
