Interview: Egypt seeks to boost Chinese investments across key sectors: official

CAIRO, Sept. 26 (Xinhua) -- Egypt is seeking to attract more Chinese investments across several sectors, including energy, renewable energy, chemical industries, textiles, and automotive, according to Hossam Heiba, CEO of Egypt's General Authority for Investment and Free Zones (GAFI).

"We also aim to draw Chinese investments in services and tourism, which are areas we need to develop closely," Heiba told Xinhua in a recent interview. He expressed optimism about establishing technology hubs in Egypt through collaboration with China.

Heiba emphasized that Egypt represents a significant market in Africa and the Middle East, highlighting various factors that make the country appealing to Chinese companies. With a labor force of over 30 million, 35 percent of whom are under 35, Egypt has 24 industrial cities and is expanding their areas.

"These factors enhance the attractiveness of the Egyptian market for Chinese firms," he stated. "We have Chinese companies operating in renewable energy, textiles, chemicals, and home appliances -- companies of all sizes."

On Monday, Chinese home appliance giant Haier held a groundbreaking ceremony for the second phase of its industrial park in the 10th of Ramadan city, northeast of Cairo. This phase, with an investment of approximately 40 million U.S. dollars, will primarily produce refrigerators and freezers.

Heiba noted that Haier is one of the Chinese companies rapidly expanding in Egypt. After receiving a golden license from the Egyptian government, Haier initiated the first phase of its industrial park in early 2023, starting production in May 2024.

"After about five months of operation, Haier has commenced its second phase. This indicates that the Egyptian market is responding and growing, and that Chinese investments in Egypt receive government support," he said.

Heiba highlighted that Egypt has undertaken significant economic reforms to enhance the business environment, offering various incentives to investors. "Among these incentives is the golden license, a one-step approval granted to investors upon submission of their projects, allowing them to execute construction without delays," he explained.

He clarified that once construction is completed, investors can operate immediately with the golden license, which is issued within 20 working days, making the process straightforward.

The official said Chinese investments in Egypt are growing rapidly in recent years, with more and more Chinese companies operating the North African country.

"The comprehensive strategic partnership signed between Egypt and China a decade ago is now bearing fruit. Egypt is part of the Belt and Road Initiative and a member of the BRICS bloc, which illustrates the close ties between the two nations," Heiba added.

"We are focused on translating this relationship into increased investment and trade, facilitating the exchange of investments between Egypt and China, and enhancing bilateral trade relations," he concluded.