With $15 billion.. Saudi Arabia leads Gulf investments in Egypt

Egypt and Saudi Arabia have strategic bilateral relations based on the distinguished relations between the leaderships of the two countries, as well as the historical and fraternal ties between the Egyptian and Saudi peoples.

 So that, Saudi Arabia has pledged $15 billion to support Egypt, the latest Gulf state to announce its support for an economy under increasing pressure from the war in Ukraine and seeking International Monetary Fund assistance.

For the second consecutive quarter, the Kingdom of Saudi Arabia led the nationalities of the countries that invested the most in Egypt.

Saudi investment

Net Saudi investment flows recorded $719.8 million in the period from September to December 2022, making the Kingdom’s total investments jump over the second half of 2022 to $1.965 billion, compared to only $180.9 million in the first half of the year, an increase of 986%.

Merchandise trade exchange

Merchandise trade exchange rates between the two countries amounted to about 5 billion and $665 million in 2022, compared to about 4 billion and $572 million in 2021, achieving an increase of 23.9%, indicating that Saudi investments in Egypt exceed $6 billion, in the sectors of industry, construction, tourism, agriculture and services. finance, communications and information technology.

Egyptian investments in Saudi Arabia

Egyptian investments in Saudi Arabia amount to about $1.4 billion in the sectors of industry, energy, water, health, retail trade, e-commerce, petrochemicals, oil and gas, tourism, communications, information technology, transportation, logistics, mining and engineering services.

Relations with Egypt

The Saudi leadership is keen to strengthen joint relations with Egypt as strategic relations and to serve as a role model for cooperation between brothers.

The Kingdom is keen to benefit from Egyptian expertise and experience in many industrial sectors, especially the automobile and pharmaceutical industries.

A memorandum of understanding was also signed between the Egyptian Export Development Authority and the Saudi Export Development Authority regarding enhancing cooperation between the two sides in the field of developing non-oil exports, and a memorandum of understanding between Value Egypt and the National Center for Industrial Development in the field of developing the automobile industry.

Emirati investments in Egypt

The UAE ranked second in terms of the countries that invested the most in Egypt during the last 6 months of 2022, bringing the net new Emirati investments in Egypt to about $732.4 million.

The pace of new Qatari investments in Egypt increased, to record $258.3 million from July to December 2022, compared to $170.4 million in the first half of 2022.

Foreign direct investment

In early May, the Central Bank announced that net foreign direct investment in Egypt during the second half of 2022 amounted to $5.7 billion.

Targeting Egypt foreign direct investment Within the range of $11 billion during the next fiscal year 2023-2-2024, which starts in early July.