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The figures were revealed during a meeting with the Investment Ministry and the TSFE, where a profit distribution policy was proposed by the Fund’s board of directors, allocating 50 percent of the profits for companies under the fund to be distributed to the state treasury, according to Cabinet Spokesperson Mohamed El-Homsany.
Established in 2018, the Sovereign Fund of Egypt (TSFE) partners with local and international investors to redevelop underused state assets rather than sell them, with the stated aim of supporting public finances, attracting more investments to utilize state-owned entities and companies.
The assets include the Ministries Square Complex in Downtown Cairo and the Ministries of Industry, Tourism, and Antiquities. They also include the former Ministry of Interior headquarters in the Lazoghli area south of Tahrir Square, which is in the process of being redeveloped into an EGP 800 million ($25.9 million) mixed-use service and hospitality complex.
Moreover, the meeting reviewed the fund’s budget, financial statements, and the profit distribution policy for the state-owned companies whose ownership was transferred to the fund. El-Khatib also looked at several partnerships in the private sector in multiple fields, including utilities and infrastructure, financial services, digital transformation, tourism, real estate, healthcare, pharmaceuticals, education, and industry.
Achieving sustainable and maximized returns on state-owned assets and continuing to expand the investment portfolio through utilizing the assets in an investment partnership with the state and the private sector remain priorities for the fund to increase foreign and local investment.
This utilization of state assets is part of Egypt’s efforts to raise the private sector’s contribution to the GDP to around 80 percent by FY 2025/2026. In addition, it also reflects the Egyptian government's efforts to achieve a four percent primary surplus, as per the National Economic Narrative.
Egypt’s TSFE ranked 47th among the top 100 sovereign funds globally in 2023, with holdings valued at $12 billion, according to the Ministry of Planning, Economic Development, and International Cooperation, citing the Sovereign Wealth Fund Institute.
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