AGP Executive Report

Clean Energy: Egypt signed preliminary financing agreements for the $650 million Dandara solar project in Qena, combining 1,000 MW of solar power with battery storage. It is expected to supply about a third of Egypt Aluminium’s electricity needs. Manufacturing: Foreign Minister Badr Abdelatty said Egypt aims to raise non-oil exports to $100 billion by 2030 by localising production and drawing investment into priority industries. Water Infrastructure: The government approved public-private projects for industrial wastewater treatment and desalination, while Prime Minister Mostafa Madbouly urged local production of water equipment. Business Finance: A $37.5 million EIB investment helped Egyptian fund manager Tanmiya close its second growth fund at $130 million, backing companies including those in logistics, consumer goods and healthcare. Mining: Egypt and the World Bank launched a partnership to develop the mining sector, with a target of raising its contribution to 6% of GDP. Gas Exports: Cyprus’s Cronos gas project moved into execution, with production targeted for 2028 and gas set to be processed and exported through Egyptian infrastructure.

Energy Investment: Egypt signed preliminary financing for a $650 million solar project in Upper Egypt, while Scatec and the EBRD are building a separate $221 million renewables investment platform. Chevron also reported more gas at its offshore Nargis-2 well. Local Manufacturing: Prime Minister Mostafa Madbouly urged local production of water equipment, and the Industry Ministry plans a “Qeema” certificate to boost domestic value. The AOI and Military Production Ministry also discussed industrial integration, technology transfer and local manufacturing. Mining: Egypt and the World Bank launched a partnership to develop the sector, with a target of raising mining’s contribution to 6% of GDP. Ports & Logistics: The Suez Canal Authority says the Red Sea crisis has cost Egypt $17 billion in revenue and is expanding shipbuilding and repair; a new logistics hub is also planned at Dekheila Port. Factory Expansion: Saint-Gobain is increasing production capacity at two Egyptian facilities.

Energy: Eni has signed $1.8 billion in contracts to develop Cyprus’ Kronos gas field, with gas set to flow through Egyptian infrastructure to Damietta for liquefaction and export, potentially from 2028. Water Infrastructure: Egypt is advancing public-private projects in industrial wastewater treatment and desalination. The government says it has invested EGP 635 billion in water and sanitation over 12 years, with a push to localize technology and industry. Mining: A new Egypt–World Bank partnership aims to develop the sector and raise mining’s contribution to 6% of GDP. Manufacturing: Egyptian Swiss Group plans to invest €5 million in a pasta production line as it targets EGP 11 billion in turnover; Saint-Gobain is also adding two production facilities in Egypt. Logistics: Alexandria Port Authority and Hassan Allam Utilities have agreed to explore a logistics hub at Dekheila Port. Industrial Targets: Egypt’s government says it aims to produce more than 100,000 cars annually and expand farmland to 12.5 million feddans.

Infrastructure: Egypt approved new PPP projects for industrial wastewater treatment, desalination and electricity, including a 35,000-cubic-metre-a-day plant for South Port Said’s El-Raswa Industrial Zone. Mining: A new partnership with the World Bank and EBRD aims to lift mining’s contribution to GDP to 6%, with reforms, better geological data and mineral-processing facilities intended to attract investment. Food Manufacturing: Egyptian Swiss Group is targeting EGP 11bn in turnover and investing €5m in a pasta line; it exports about 80% of production to 60 countries. Energy: Chevron reported positive results from its Nargis-2 Mediterranean gas well, adding to Egypt’s efforts to accelerate gas development. Trade: Customs authorities are expanding digital tools and advance cargo data to speed clearance and improve cross-border e-commerce processing. Construction: The government announced a four-year, EGP 1trn housing programme targeting one million homes, with private-sector participation and rental and rent-to-own options planned.

Water and Agriculture: President Abdel Fattah al-Sisi said the Nile provides more than 98% of Egypt’s renewable water resources, underscoring pressure to improve water efficiency as the country pursues a 12.5 million-feddan farmland target. Growth and Manufacturing: At Egypt Forum 2026, Prime Minister Mostafa Madbouly also cited a goal of annual car production above 100,000; the forum recommended raising the minimum wage to EGP 15,000 by FY2029/30. Saint-Gobain is expanding with two new Egyptian production facilities. Energy Investment: Chevron reported positive results from its Nargis-2 Mediterranean gas well, while Scatec and the EBRD launched a $221 million renewable-energy investment platform for Egypt. Trade and Logistics: Red Sea disruption has cost the Suez Canal an estimated $17 billion, as the authority expands shipbuilding and repair operations. Hassan Allam Utilities has also signed an agreement to explore a logistics hub at Dekheila Port.

Energy: Chevron and Egypt reported positive Nargis-2 gas appraisal results in the Mediterranean, identifying an additional gas-bearing layer and up to 35 metres of net pay as work continues to assess commercial potential. Scatec and the EBRD are also advancing a $221 million renewable-energy platform in Egypt, including a 1.2GW solar-plus-storage project. Manufacturing: Saint-Gobain has doubled float-glass capacity at Ain Sokhna and plans to open a plasterboard plant in Sadat City in November. At Egypt Forum 2026, Prime Minister Mostafa Madbouly set targets of more than 100,000 locally produced cars a year, 60% automotive local content and renewables supplying over 45% of electricity by end-2028. Agriculture and logistics: The government aims to expand cultivated land to 12.5 million feddans. Egypt is also planning an integrated logistics hub at Dekheila Port, while the Suez Canal Authority is expanding shipbuilding and repair operations amid continuing revenue losses from Red Sea disruption.

Manufacturing: Industry Minister Khaled Hashem says Egypt Forum 2026 will tackle factory challenges, streamline licensing and attract investment. Shipping and Logistics: The Suez Canal has reported $17 billion in losses amid the Red Sea crisis, while expanding shipbuilding and repair operations; a new integrated logistics hub is also planned at Dekheila Port. Energy: Scatec and the EBRD are establishing a $221 million renewable-energy investment platform in Egypt. Industrial Investment: Saint-Gobain is expanding production at two Egyptian facilities, while Egypt plans up to seven mega data centres and aims to export services by 2030. Trade: Engineering exports rose 4.1% to $4.35 billion in the first eight months of 2026, and chemical exports to India jumped 325% to $627 million. Development: A $202 billion agreement with Talaat Moustafa Group will support four mixed-use mega-projects, adding to the construction pipeline.

Renewable Energy: Scatec and the EBRD are setting up a $221 million investment platform in Egypt, while separate financing supports a 1.2GW solar project. Digital Infrastructure: Egypt plans up to seven mega data centres, aiming to develop export services by 2030. Ports and Logistics: Alexandria Port Authority and Hassan Allam Utilities agreed to explore an integrated logistics hub at Dekheila Port. Oil and Gas: Saipem and Egypt’s MDC signed an offshore drilling agreement, as Eni launched the second phase of its Meleiha gas project in the Western Desert. Manufacturing and Exports: Egypt’s engineering exports rose 4.1% to $4.35 billion in eight months, while chemical exports to India surged about 325% to $627 million. Sany is also planning a wind turbine plant in Egypt.

Energy and Offshore: Egypt is preparing gas exploration across 18,000 sq km of the Mediterranean, while Saipem and MDC have joined forces to pursue offshore drilling work. Rosatom and Teletech are also partnering on a 500 MWh battery-storage facility. Industry and Exports: Egyptalum reported record profit, and chemical exports rose sharply: shipments to China reached $287 million, up 678%, while exports to India hit $627 million, up 325%, in the first eight months. Logistics: Alexandria Port Authority and Hassan Allam Utilities are exploring a logistics hub at El-Dekheila port. Maersk is targeting a full return to Suez Canal transit by March 2027. Economic Outlook: The IMF maintains Egypt’s long-term growth forecast at 4.8%, even as the pound faces pressure and the dollar trades above EGP 55.

Metals: Egyptalum posted record 2025/26 profit of EGP 20.61 billion, up 34.1%, on revenue of EGP 53.14 billion; exports reached EGP 32.67 billion. Gas and Offshore: Egypt is stepping up Mediterranean exploration with a new seismic survey, while Saipem and Egypt’s MDC have agreed to target offshore drilling work across the region. Energy Storage: Rosatom and Teletech plan a 500 MWh battery-storage facility in Egypt; separately, EBRD-led lenders are backing a 1.2 GW solar project with 600 MWh of storage. Exports: Egyptian chemical exports to China jumped 678% to $287 million in the first eight months, while exports to India rose about 325% to $627 million. Industrial Investment: The Suez Canal Economic Zone is seeking expanded cooperation with China’s Shaanxi province in clean energy, automotive manufacturing and advanced industries.

Logistics: Hassan Allam Utilities and partners will assess a 273,000-square-metre logistics hub at Dekheila Port, subject to approvals and a final agreement. Maersk also plans to restore all Suez Canal services by March 2027; its affiliated vessels made 276 canal transits in January–September, up from 146 a year earlier. Energy: Egypt reported 113 oil discoveries and brought 591 wells online over two years, while Eni has started operations at the second phase of its Meleiha gas project. Cairo is also pressing to fast-track a link for Cyprus gas to Egypt’s processing and export infrastructure. Renewables: EBRD-led lenders are backing a 1.2GW solar project with 600MWh of battery storage in Minya, supported by a $265 million loan. Industry and investment: Egypt’s engineering exports rose 4.1% to $4.35 billion in eight months, while chemical exports to China surged 678% to $287 million. The Suez Canal Economic Zone ranked first in Africa and seventh globally in fDi’s free-zone awards.

Oil and Gas: Egypt reported 113 oil discoveries and brought 591 wells online in two years, while saying it has cleared $6.1 billion in arrears to foreign partners to encourage new investment. Exports: Chemical and fertiliser exports to China jumped 678% to $287 million in the first eight months of 2026. Steel: Ministers met steelmakers to address industry challenges and secure supplies of production inputs. Renewable Energy: EBRD-led lenders are backing a 1.2GW solar project with 600MWh of storage. Finance: Fintech firm MNT-Halan began trading on the EGX after an oversubscribed IPO, with a reported $775 million valuation. Construction: Talaat Moustafa Group signed an EGP 11 trillion deal with the government for four mixed-use developments. Industrial Zones: SCZONE ranked first in Africa and seventh globally in fDi’s free-zone awards.

Energy: Eni has begun start-up at Meleiha Phase 2 in the Western Desert. Its new gas facility is designed to process up to 100 million cubic feet a day. Egypt also signed a fiscal framework with Chevron for Cyprus’ Aphrodite gas field, advancing plans to route gas through Egyptian infrastructure, and says it has cleared $6.1 billion in overdue payments to energy partners. Investment and Construction: Talaat Moustafa Group signed a state agreement for four mixed-use developments across East Cairo, Alexandria and the North Coast, with targeted investment of EGP 11 trillion and six million direct and indirect jobs. Manufacturing and Renewables: Egypt’s engineering exports rose 4.1% to $4.35 billion in the first eight months of the year. Sany is planning a wind-turbine plant in Egypt, while Infinity Power and HAU Energy secured $566 million for a 1.2-gigawatt solar project. Finance: Fintech firm MNT-Halan began trading on the Egyptian Exchange after strong demand for its IPO.

Energy: Eni has begun start-up activities at Meleiha Phase 2 in the Western Desert. The new facility is designed to process up to 100 million cubic feet of gas a day. Egypt also says it has cleared $6.1 billion in arrears to oil and gas partners, while Cyprus plans to route gas through Egyptian infrastructure. Exports: Engineering exports rose 4.1% to $4.35 billion in the first eight months of 2026, led by cables, electrical goods and appliances. The sector is targeting annual growth of about 15%. Investment: Egypt and Talaat Moustafa Group announced an EGP 11 trillion plan for four mixed-use projects, including an industrial and logistics hub near Abu Qir. Manufacturing: Sany Renewable Energy plans to build a wind turbine plant in Egypt, while Russian and Egyptian officials are advancing plans for an industrial zone in the Suez Canal Economic Zone. Renewables: Infinity Power and HAU Energy secured $566 million for a 1.2-gigawatt solar project. Business climate: Moody’s upgraded Egypt’s sovereign rating to B3, citing lower debt and stronger budget indicators, while noting high interest costs remain a constraint.

Energy: Eni has launched start-up activities for Meleiha Phase 2 in the Western Desert, adding a gas-processing hub designed to handle up to 100 million cubic feet a day. Renewables: Infinity Power and HAU Energy secured financing of up to $566 million for a 1.2-gigawatt solar project in Minya, paired with battery storage. Manufacturing and Trade: Egypt’s chemical exports to India jumped about 325% to $627 million in the first eight months of the year; Fertiglobe is also weighing a new phosphate fertilizer complex in Egypt. Business Climate: Egypt’s economy grew 5.1% in fiscal 2025/26, with foreign reserves reaching $57.3 billion, though analysts say lasting resilience depends on tackling structural imbalances and advancing reforms.

Chemical Exports: Egypt’s chemical exports to India jumped about 325% to $627 million in the first eight months, while Fertiglobe is considering a new phosphate fertilizer complex in Egypt. Food & Water: The irrigation ministry is exploring desalinated water for intensive food production, with lower energy and treatment costs a key challenge. Separately, Egyptian farmed fish has been cleared for sale across the EU’s 27 member states. Energy Links: Agreements expected in Alexandria this week could set the commercial and transport framework for bringing gas from Cyprus’s Aphrodite field to Egyptian processing and export facilities. Industrial Investment: Russia and Egypt are advancing plans for the Russian Industrial Zone, while the Suez Canal Economic Zone is seeking investment in clean energy, automotive manufacturing and advanced industries. Trade & Logistics: Egypt’s new El Amreya dry port and a planned logistics zone in Salloum add capacity to the country’s freight network.