Egypt’s total foreign direct investments for FY 2013/2014 measured $6bn, Investment Minister Ashraf Salman said on Tuesday.
On the sidelines of the Euromoney conference, Salman said that Egypt is hoping to “touch the $10bn” mark during FY 2014/2015, and will reschedule debts to foreign partners operating in the petroleum sector.
The move will restore their confidence in injecting new investments into the petroleum sector, and allow for an increase in energy production in the midst of an energy crisis, Salman said.
He said that “the government is not discussing privatisation” or selling government-owned companies to the private sector, adding: “We will not sell state-owned companies that are not managed well.”
He added that the priority now is restructuring those companies and improving their economic status.
Salman went on to say that his ministry began financially evaluating some companies, to allow for a diversity of resources and funding, including offering bonds. Companies in crisis will be encouraged to follow in the footsteps of successful businesses.
The Central Bank of Egypt is currently auditing indicators for the period since June 2014, with figures to be announced soon and including rates for foreign direct investment and growth.
The increase in foreign direct investment to $6bn represents a 100% increase over FY 2012/2013 investments, which were valued at $3bn only.
Salman said in June that he aimed for foreign direct investment to reach $10bn for FY 2015/2016 and $14bn within three years.
The minister believes that attracting more foreign investment will take place through restructuring the business sector and reducing bureaucracy.