Egypt’s IPO program reaches $3.5B subscription volume: Finance Minister

CAIRO - 15 January 2024: Minister of Finance, Mohamed Maait, revealed that Egypt’s initial public offering (IPO) program has garnered a subscription volume reaching $3.5 billion as of February 2023.

 

During his statement, Minister Maait emphasized the importance of bolstering multilateral cooperation to address the financing challenges faced by emerging economies due to geopolitical tensions worldwide. He stressed the need for innovative financing solutions to bridge the gaps generated by these tensions, which exert significant pressures on emerging economies.

 

Highlighting the government's efforts to stimulate the business climate and promote the role of the private sector in economic development, Minister Maait outlined various measures undertaken by the Egyptian authorities. These measures are aimed at creating a favorable environment for businesses to flourish, ultimately contributing to comprehensive and sustainable growth.

 

Looking ahead, Egypt is set to offer 61 new companies as part of its IPO program later this year. Although the specific companies were not disclosed, priority will be given to sectors such as airports, telecommunications, banking, and insurance. This move signifies the government's commitment to expanding investment opportunities and diversifying its economic portfolio.

 

According to reports from local media, the newly listed companies are affiliated with prominent institutions, including the National Investment Bank, the Ministry of Finance, the Central Bank, the Ministry of Public Business Sector, and the Ministry of Transport. This broad representation across different sectors highlights Egypt's intention to cultivate a robust and diverse investment landscape.

 

In another development, Minister Maait revealed that Egypt is exploring the possibility of issuing bonds denominated in the local currencies of member countries of the New Development Bank (NDB). This initiative aims to strengthen financial ties and cooperation between Egypt and NDB member nations, presenting new avenues for investment and collaboration.