Egypt to press ahead with state asset sales

Egypt will not retreat from its programme of selling state assets and will meet all of its debt repayment commitments, Prime Minister Moustafa Madbouly said.

Delays in selling stakes in state companies have been caused by the government’s keenness to secure “the best return from the sale”, he told a news conference.

“Egypt will continue to offer assets and not retreat,” Madbouly said, adding that the government aimed to secure at least $2 billion sales before the end of June.

Under a $3 billion, 46-month financial support package signed in December, Egypt promised the International Monetary Fund that it would roll back the state’s involvement in the economy and allow private companies a much greater role.

Egypt desperately needs the proceeds from privatisation after a series of economic shocks. Its progress on economic reform could determine whether it can ride out the financial crisis exposed by the war in Ukraine and lay the ground for sustainable growth.

The government would include stakes in more than 10 companies owned by the military in the privatisation drive, Madbouly told the news conference.

“Egypt has not failed and will not fail any of its international commitments,” Mabdoubly added.