Egypt’s Prime Minister Mostafa Madbouly has called on Japanese companies to establish a dedicated Japanese industrial zone within the Suez Canal Economic Zone (SCZONE), leveraging its strategic location and Egypt’s free trade agreements with key regional economic blocs. He stressed that such agreements would provide Japanese firms with greater access to regional markets without customs barriers, at a time when the global economy is experiencing rising trade and customs restrictions.
Madbouly urged Japanese investors to play a role in Egypt’s strategy to localise industry, particularly in priority sectors such as automotive manufacturing, renewable energy, and water desalination. He emphasised that the government is supporting these areas with an extensive package of investment incentives designed to attract foreign participation.
The Prime Minister delivered his remarks at the Egypt–Japan Business Council Forum, held in Tokyo with the participation of senior officials and leading companies from both countries. His appearance at the forum formed part of his visit to Japan, where he is representing President Abdel Fattah Al-Sisi at the ninth Tokyo International Conference on African Development (TICAD9) in Yokohama.
Madbouly expressed his satisfaction at taking part in the Council’s regular meeting, held for the first time in five years, noting the strong turnout from both sides to discuss ways of deepening trade, investment, and economic ties.
He highlighted that Egypt has witnessed a developmental leap over the past decade, strengthening the competitiveness of its economy and empowering the private sector. The state, he said, has actively worked to attract foreign direct investment across various sectors, supported by a comprehensive infrastructure overhaul, with $550bn invested in transport, energy, and utilities. This, he noted, has enabled smoother operations for businesses and foreign investors nationwide.
The Prime Minister further explained that Egypt has implemented a wide-ranging reform programme to enhance the investment climate, including fiscal and monetary reforms, improved governance of public investment, and the adoption of a flexible exchange rate regime. These measures, he said, have contributed to stabilising the foreign exchange market and restoring balance to the balance of payments.
He also underlined the government’s steps to ease the burdens on investors, including streamlining customs clearance procedures with the aim of reducing clearance times to two days, simplifying company incorporation processes, and launching a tax incentives policy to encourage expansion and new investments.
Madbouly stressed Egypt’s unique geographic position, connecting Africa, Europe, and West Asia, and its location along key international shipping routes. This, he said, has positioned Egypt as a regional hub for global supply chains and a centre for the production, transmission, and trade of renewable and green energy. “For this reason,” he declared, “we are inviting Japanese companies to take advantage of these opportunities by expanding their activities and investments across Egypt’s leading industries and economic sectors.”
Concluding his speech, the Prime Minister voiced hope that the joint meeting of the Egypt–Japan Business Council would deliver tangible results that further strengthen bilateral economic, trade, and investment cooperation. He reaffirmed that such progress would build on the strong political relations between the two countries, which were elevated to the level of a ‘strategic partnership’ in April 2023.
