Gazette staff
The current global economic challenges have proved the strength of the Egyptian vision to diversify sources and financing tools to reduce the cost of development investments, Minister of Finance Mohamed Maeet said late on Tuesday.
In his address to the 11th African Accounting and Finance conference, organised by Al-Nahda University, the minister added that the government has adopted a series of economic and social measures to reinforcing state infrastructure, stimulate investment and support the Egyptian economy.
Egypt has occupied a prominent place on the map of sustainable financing for the green economy by diversifying environment-friendly sources of financing, Maeet said.
“The government issued the first public offering of sovereign green bonds in the Middle East and North Africa, with a value of $750 million, in September 2020. This contributed to attracting new foreign investors,” the minister said.
The government will issue the first sovereign sukuk in the near future to attract investors who prefer financial transactions that comply with the principles of Islamic law, the minister added.
This step will provide funding for investment projects listed in the economic and social development plan in line with the state budget, Maeet said.
The government hopes to co-operate with the Japanese side to issue green samurai bonds, after the successful launch the first issue of samurai bonds worth ¥60 billion on the Japanese market, Maeet added.
Egypt has completed all necessary procedures to issue panda bonds on the Chinese market at an expected value of $500 million, he said, adding that the Ministry of Finance hopes to enter the Chinese market for the first time before the end of the current fiscal year.
Egypt, with its wise political leadership, is always keen to consult with African neigbours to exchange views and crystallise a unified vision on various issues of common interest so that Africa speaks with one voice in all international forums, he said.
Egypt today hosts a meeting of African ministers of finance, economy, development and environment, in co-operation with the United Nations Economic Commission for Africa, to discuss African financing needs to deal positively with the impacts of climate change on the environment and the economy.
Furthermore, he pointed out that Egypt seeks external financing of $6 billion as per the budget for fiscal year (FY) 2022-2023.
Economic reforms helped Egypt to become resilient to the challenges and absorb economic shocks from the coronavirus pandemic and the war in Ukraine, the minister of finance said.
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