Egypt mulls exiting 83 percent of state-owned agriculture sector

Ahram Online , Wednesday 30 Aug 2023

The Egyptian government is planning to exit 83 percent of its 26 companies in the agricultural sector, read a document on the Government IPO Programme released by the Cabinet's Information and Decision Support Centre (IDSC).

Egyptian farmer in a land. (Al Ahram)
Egyptian farmer in a land. (Al Ahram)


According to the document, the government will also exit 14 percent of eight companies in the water and drainage sector and 11 percent of 50 companies in the information and telecommunications sector.

However, the government did not specify a specific timeframe for these exits

The document showed that 43.2 percent of total state-owned companies are achieving profits, while 20.6 percent are incurring losses.

The Egyptian government is planning to attract $5 billion from the offering of power plants and state-owned companies from October 2023 until the end of June 2024.

The privatization programme is part of Egypt's commitments under its $3 billion loan programme with the International Monetary Fund (IMF).

Egypt seeks to accelerate the implementation of the IPO programme to finalize the first and second reviews of the deal, which Morgan Stanley expects to be conducted in the coming months. 

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