Cabinet: Private Sector Accounts for 60.8% of Implemented Investments in 2025/2026

Cairo - Ahmed Sabri: The Media Center of the Council of Ministers published a series of infographics via its social media platforms, highlighting the state’s efforts to empower the private sector and enhance its role in driving economic growth rates, increasing investments and exports. These efforts are part of the state’s direction toward building a more competitive economy based on expanding the private sector’s participation in economic activity and maximizing its role as a key partner in achieving sustainable development, in line with the objectives of “Egypt 2030.”

The infographics noted that recent years have witnessed a noticeable shift in the state’s approach to strengthening the private sector’s participation in the national economy, through reorganizing the state’s role in economic activity, developing mechanisms for managing state-owned assets, and expanding the scope of private sector participation in implementing projects and economic activities.

These efforts have been reflected in several economic indicators showing the growing contribution of the private sector to investments, gross domestic product (GDP), and employment, as well as international praise for the developments in Egypt’s business environment.

The infographics highlighted endorsements from several international institutions regarding the improvements in Egypt’s business environment. The International Monetary Fund (IMF) noted that the state ownership policy recently adopted represents an important step toward strengthening the state ownership framework. It also pointed to steps taken by authorities to improve the business environment and enhance competition by simplifying customs clearance procedures and tax administration.

The infographics also indicated that the World Bank noted Egypt’s initial steps toward creating a more favorable business environment for private sector growth, including unifying the exchange rate, addressing severe distortions in the foreign exchange market, issuing several new laws to improve the legal framework governing business activities, and the ongoing implementation of the state ownership policy that regulates the state’s participation in economic activities.

In the same context, the infographics confirmed that Fitch Ratings pointed to the gradual improvement in Egypt’s business environment, supported by the continuity of economic reforms, the expansion of trade and investment opportunities, the modernization of tax administration, and efforts to strengthen the regulatory framework.

For his part, the European Bank for Reconstruction and Development (EBRD) stated that the initial public offering (IPO) of Banque Misr marks a milestone in Egypt’s privatization program, predicting that the offering will contribute to developing capital markets and increasing private sector participation in the banking sector.

Regarding indicators of the private sector’s contribution to economic activity, the infographics showed an increase in the ratio of private investments to total implemented investments by approximately 20.9 percentage points, reaching 60.8% during the 2025/2026 fiscal year, compared to approximately 39.9% during the 2021/2022 fiscal year. Additionally, the private sector’s contribution to GDP increased by approximately 4.8 percentage points, reaching 79.9% during the 2025/2026 fiscal year, compared to 75.1% during the 2021/2022 fiscal year.

The infographics added that the share of private sector employees in total employment rose by approximately 3.1 percentage points, reaching 82.9% in the second quarter of 2026, compared to approximately 79.8% in the second quarter of 2021.

With regard to developing state ownership management and enhancing the role of the private sector, the infographics outlined the state’s launch in June 2026 of the second edition of the State Ownership Policy document, titled “Deepening Reforms and Maximizing Impact 2026-2030.” This document includes a transition from asset management to managing the state’s role, transforming it into a regulator and enabler that creates a favorable environment for the private sector, alongside defining

The scope of the document’s application is defined within a regulatory legal framework established by Law No. 170 of 2025. The infographics also highlighted the key features of the second edition of the document, which include developing the state ownership governance structure to enhance the centralization of asset management, regulating corporate affiliations, improving the efficiency of investment oversight, and strengthening corporate governance of state-owned enterprises. Additionally, the document aims to promote competition and competitive neutrality, and for the first time, integrate reforms of economic entities, with the goal of enhancing their institutional and financial performance efficiency and boosting their contributions to the economy.

Regarding the government divestment program, the infographics emphasized its role in reducing the state’s economic footprint and empowering the private sector. The total value of 25 deals executed from the beginning of 2022 through June 2026 amounted to approximately $37 billion, including the Ras El Hekma and Emaar Misr deals. Furthermore, 20 companies have been listed under the program.

On November 2, 2026, initial trading began for Cairo Bank shares on the main market of the Egyptian Exchange, within the banking sector. This offering represents the largest in the history of the Egyptian securities market, with a total value exceeding EGP 36.37 billion. The offering included approximately 6.86 billion shares, representing 45% of the bank’s total share capital.

The infographics clarified that the program aims to broaden the ownership base in the Egyptian Exchange, attract direct investments, and enhance the state’s capacity to meet financing needs. It also seeks to maximize the role of the private sector in economic activity and increase its participation in public investments in the coming years.