Saudi Arabia announces $5 billion investment in Egypt

Saudi Crown Prince Mohammed bin Salman has announced a $5 billion investment in Egypt through the Saudi Public Investment Fund (PIF), according to a statement from the Egyptian cabinet.

The announcement followed a meeting between the crown prince and Egyptian Prime Minister Mostafa Madbouly in Riyadh.

While the statement described this as the "first step" of investment, no specific details were provided about the timeline or the nature of the projects.

Prime Minister Madbouly highlighted the strong relationship between Egypt and Saudi Arabia, noting ongoing efforts to finalize an agreement to protect joint investments.

He expressed confidence that the agreement would lead to increased investments between the two nations, mentioning that many Egyptian companies operate in Saudi Arabia, and Saudi investments in Egypt are significant.

Madbouly also emphasized the potential for collaboration to expand into the African market, with support from the Egyptian-Saudi Business Council. He stated that the goal was to establish a strong presence in key sectors within the next three years, focusing on strategic priorities.

The crown prince, in turn, acknowledged Egypt’s efforts to address concerns from Saudi investors, stressing the importance of resolving any remaining trade disputes to attract more Saudi investment. Madbouly noted that Egypt had resolved most of these issues, with only 14 disputes left to settle.

During the visit, Madbouly also held discussions with several Saudi ministers, including Minister of Industry and Mineral Resources Bandar bin Ibrahim Alkhorayef.

In August 2022, PIF launched the Saudi Egyptian Investment Company (SEIC) to invest in various sectors across Egypt. SEIC focuses on areas such as infrastructure, real estate, healthcare, financial services, food and agriculture, manufacturing, and pharmaceuticals, targeting promising opportunities throughout the country.