Egypt Aims to Elevate State Assets Through Sovereign Wealth Fund Transition
Funding | Feb 26, 2025 | Zawya
The Egyptian government is implementing a strategic move to place its state-owned enterprises under the management of its sovereign wealth fund, TSFE. Minister of Investment and Foreign Trade, Hassan El-Khatib, outlined plans at the Investopia 2025 conference to integrate public and private sectors for asset maximization and to encourage more listings of state assets. This approach follows the successful United Bank IPO and aims to list around 15 more companies soon. Notably, the government recognizes a decline in private investment from 70% to 25% over ten years, a trend it aims to reverse by enhancing private sector involvement. This shift marks a significant step in the country’s economic reform initiatives.
Sectors
- Finance
- Government
Geography
- Egypt – The main focus of the article is on the economic reforms and investment strategies within Egypt.
- Abu Dhabi, UAE – The Investopia 2025 conference at which the strategy was outlined took place in Abu Dhabi.
Industry
- Finance – The article discusses the reallocation of state assets into a sovereign wealth fund, highlighting activities related to investment, listing, and asset management.
- Government – The involvement of the Egyptian government in restructuring state-owned enterprises underlines the sector's role in economic planning and policy implementation.
Financials
- $12 billion – The size of the sovereign wealth fund, TSFE, tasked with managing the state assets.
- $550 billion – The investment by Egypt over the last 10 years in infrastructure.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Hassan El-Khatib | Minister of Investment and Foreign Trade | People | He announced the plans for restructuring state-owned enterprises under TSFE. |
| TSFE (The Sovereign Fund of Egypt) | State Asset Manager | Companies | Responsible for managing Egypt's state-owned enterprises and driving the government's IPO program. |
| United Bank | Target Company | Companies | TSFE listed United Bank in Egypt's first bank IPO in over 25 years. |