You hear a lot about the dollar crisis… that the economy is at a standstill and the future is uncertain… so you once thought about asking yourself: Is this really true? Are we really suffering from a shortage of hard currency? Are there things that happen behind the scenes that no one tells you about?
Throughout the past period, many people have been promoting untrue talk about a dollar crisis that Egypt is experiencing, and that banks are not meeting the requests of companies and importers. They were also promoting that Egypt’s economy is going into a difficult situation.
Why do we say that this is not true?
Look, sir, Egypt in the last year received more than 46 billion dollars in direct foreign investments, and these are real and documented numbers. Let’s delve together into more details and understand what is happening? Why is the picture not as dark as some are trying to make?
“The Central Bank of Egypt announced very recently that net foreign direct investment flows in Egypt reached $46.1 billion by the end of the fiscal year 2023-2024. This is a record number compared to any other year.”
But the question is: How did we reach this number?
Let us look at a few points.. First, Egypt has been able to present itself as a distinguished investment destination, not only at the level of the region, but also at the level of the entire African continent.. Over the course of two years, Egypt has maintained its top spot on the list of African destinations that attract investment. This is not a coincidence… this is the result of a clear plan and a well-thought-out strategy
Let us focus on the sectors that withdraw these investments. We have the real estate sector alone, which constitutes about 20% of the gross domestic product. This sector not only moves the market, it creates more than 7 million direct and indirect job opportunities, and operates more than 100 related industries. This is what engineer Ahmed Sabour confirmed when he said that The investor has now become the focus of attention of the whole world because he creates real value. This is in addition to other sectors, such as tourism, which recorded revenues of 14.4 billion dollars, and the Suez Canal, despite the decline in its revenues, reaching 6.6 billion dollars. These are all sources that support the national economy.
Ok… why all the focus on foreign investments?
Simply because the foreign investor not only brings hard currency.. he also creates job opportunities, transfers technology, and supplies local production.. And let us remember that the government has an ambitious plan to attract about 240 billion dollars from the private sector over the next six years.. with the infrastructure that Egypt has developed in an unprecedented way over the past ten years and is now in a position that allows it to be a regional center for industry and trade.
But let’s be realistic… No success comes without challenges. One of the biggest challenges facing the Egyptian economy is the provision of financing. This is what makes the real estate sector, for example, face difficulties, but we must also remember that the state is working on innovative solutions, such as strengthening the role of non-banking financial institutions, which greatly help in providing new financing streams.
The bottom line is that those who tell you that Egypt has a crisis in the dollar, say… Egypt’s income in one year is more than 46.1 billion dollars in direct foreign investments… and we must remember that this is not a number and that’s it… this is a reflection of a great effort made so that we can compete on a global level… The Egyptian economy has a real opportunity to continue on the path of growth, and with all these numbers it is very clear that what is coming is better. Always be confident that the picture is not bleak, and there is great hope, and the numbers that say that are not me, nor you, nor anyone else.
