File Photo: Minister of Planning and Economic Development Hala El-Said.
Egypt has allocated a total of EGP 125.7 billion in public investments for the processing industry sector in the current FY2021/2022, Minister of Planning and Economic Development Hala El-Said announced on Thursday.
This came after reviewing the objectives of the processing industry sector in the current FY2021/22, which is the fourth and final year of the medium-term plan the ministry designed for sustainable development (FY2018/19-FY2021/22).
EGP 16.6 billion of these investments will be directed to petroleum refining industries, while the remaining EGP 109.1 billion will be going to non-petroleum processing industries, according to El-Said.
She also indicated that the plan includes increasing industrial non-petroleum production in FY2021/22 by 9.9 percent to reach EGP 1.7 trillion (in current prices) compared to FY2020/21.
In this respect, the plan targets increasing non-petroleum industries by a minimum of 10 percent during FY2021/22 to post $26 billion, up from $23 billion in FY2020/21.
Moreover, it is also aiming to raise non-petroleum processing industries’ production by 11.9 percent, compared to FY2020/21, in FY2021/22 to record EGP 808 billion (in current prices), according to El-Said.
The plan seeks to resume the modernisation and rehabilitation of a number of Egypt’s public sector enterprises in activities of importance as well; including textile, cotton gins, steel, aluminium, and fertilisers, noted El-Said.
“According to the plan, the construction of six industrial complexes is underway in Assiut, Qena, Aswan, Beheira, and Fayoum to establish 13 industrial complexes for small and medium-sized projects. Also, 10 million cubic metres of industrial serviced lands will be offered for investors to tap,” El-Said explained.
Furthermore, the plan includes creating one-stop industrial clusters in the textile and wooden furniture industries to benefit from the perks of the clusters concept, in addition to furthering local manufacturing through expanding in producing intermediate inputs and linking to global supply chains, El-Said further illustrated.
For entrepreneurship and start-ups, the minister noted that the plan touches upon activating “businesses clinics”, which are anticipated to extend consultations, solutions, and venture investments services for the sector.
Also, one of the main targets of the plan is stepping up investments in eco-friendly manufacturing, including electric-powered vehicles, as well as solar panels and cells manufacturing, according to El-Said.
Recently, Egypt’s President Abdel-Fattah El-Sisi has directed the government to hold meetings with the authorities concerned with the industrial sector to step up work to localise the industry of production tools and supplies instead of importing them.
Prime Minister Mostafa Madbouly also stressed that the government pays great attention to the industry file, as the development of Egypt’s industry sector would contribute to boosting the country’s economy.