The Oman Investment Authority, the sovereign arm of the Sultanate of Oman, considers investing in Egypt following the visit of a high-ranking delegation from the Sultanate to Egypt headed by Sultan Haitham bin Tariq, on his first visit to Egypt since assuming power. The step aims to increase trade exchange and investments between the two countries.
The value of trade exchange between Egypt and the Sultanate of Oman increased to record $1.1bn in 2022, compared to $650.8m in 2021, an increase of 64.6%, according to statistics.
The visit is made at a time when Egypt is racing against time to consolidate economic relations with the Gulf countries, with the aim of attracting foreign investments, to bridge the funding gap, which is estimated at $17bn.
The high-level delegation is accompanied by the head of the Omani Investment Authority, Abdul Salam bin Muhammad Al-Murshidi, to agree on the investments that the agency will pump in Egypt.
Sources told Daily News Egypt that the agency is considering investment opportunities in Egypt, on top of which are wind energy projects, as it has partnered with ACWA Power to enter into partnerships on wind energy plants proposed by the government.
The sources added that the Zaafarana wind power plant and the Jabal Al-Zayt power plant are among the opportunities it is considering in cooperation with ACWA Power.
The sources confirmed that the agency plans to inject $5bn investments in Egypt over the next three years, including $1bn that will be pumped this year into wind energy projects.
The sources confirmed that work is underway on a partnership contract with the Sovereign Fund of Egypt to study investment opportunities in the areas of interest to the agency, which are sectors: logistics, service sector, mining, industrial projects, technology, infrastructure, food, in addition to health care.
They explained that the investment in Egypt comes within the agency’s plan to allocate part of its investments outside the Sultanate, especially since the agency’s investment portfolio is mostly concentrated in the Sultanate, representing more than 60%.
According to the agency’s website, it invests in more than 40 countries around the world, and manages assets worth more than 16 billion Omani riyals, equivalent to more than $40bn.
The investments come in two categories: public market investments, including global stocks, fixed income bonds, and short-term assets, and the second category is private market investments.
On Sunday, Egypt’s President Abdel Fattah Al-Sisi received the Sultan of Oman Haitham bin Tarik in a two-day official visit to Egypt. The visit witnessed summit discussions on ways to enhance the distinct bilateral relations and consultation on regional and international issues of mutual interest.
During the visit, the two leaders exchanged views on regional and international issues within the framework of their ongoing consultations and coordination and their endeavors to realize regional stability and security, particularly in light of the huge threats facing the region and a number of Arab countries. There was an alignment in views with regard to the need to exert intensive efforts to settle existing crises in a way that safeguards the supreme interests of the Arab peoples and preserves their resources and gains.
Moreover, the two leaders exchanged the highest decorations in the two countries, in celebration of the Sultan of Oman’s visit to Egypt and in light of the firm historical relations between the two brotherly countries. The Sultan of Oman has also visited the New Administrative Capital City.
In July 2022, President Al-Sisi visited Oman to meet Bin Tarik to discuss bilateral relations between the two countries. The visit comes as the second of its kind for Al-Sisi since Bin Tarik came to power after 2013, and the first for Oman under Sultan Haitham.
Oman is a neutral state which adopts the self-distancing policy regarding international and regional crises. Oman has participated in the inauguration of Al-Sisi by a high level delegation, as well as participating in the economic conference in Sharm El-Sheikh in 2015. Also, an Omani delegation has participated in the opening of the New Suez Canal.