Egypt’s Prime Minister Mostafa Madbouli reviewed the “Global Investment 2020” report, the most recent report issued by the United Nations Trade and Development Organization (UNCTAD).
According to the report, Egypt maintained its position as the largest recipient of foreign direct investment (FDI) in Africa for 2019, reaching $9 billion, marking an increase of 11 percent, despite the decrease in foreign direct investment flows to North Africa to reach $14 billion.
The report noted that the economic reforms undertaken by the Egyptian government have improved macroeconomic stability and boosted investor confidence in the country.
It pointed out that although foreign direct investment was still driven by the oil and gas industry, investment was made in the non-oil economy as well, especially in communications, consumer goods, and real estate.
“Egypt ranked first in Africa in re-investing the profits of foreign companies by 41 percent, where the reinvested profits for multinational companies represent a remarkable share of foreign direct investment inflows to the economies of the countries of the continent,” it further noted, explaining that lowering profit expectations will have a tangible impact on investment flows to Africa in 2020.
Furthermore, the report noted that the Egyptian government has drafted new investment legislation that obliges all companies to provide information and data in order to audit the foreign investment account.
Within the framework of Egypt’s efforts to combat the new coronavirus epidemic, the report monitored the efforts of the Egyptian government in providing investment policies to stimulate investment and enhance production, especially in the health sector, in addition to supporting other economic activities with policies such as, technical support programs, training, and capacity building, and lowering gas prices for industrial use.