By Mostafa Fahmi
The Egyptian-European Council is organising a conference aimed at discussing the future of investment and work opportunities in Egypt, in an attempt to create more opportunities for investment in the country, particularly in the Suez Canal and North Coast regions.
Mohamed Abou El Enein, president of the council, said that for there to be any increase in the amount of investment and work opportunities available in Egypt, that the nation’s various political parties would need to engage in national dialogue and put an end to the political polarisation seen throughout the country. He added that it would also be necessary to implement a new financial reform programme that would help Egyptian companies remain competitive on the world market.
He emphasised the importance of controlling energy prices in a way that would guarantee social justice while also bearing in mind the need to ensure that Egyptian industry would remain competitive abroad. He further highlighted the need for Egypt to finalise the pending deal with the IMF as quickly as possible, in order to restore confidence in the economy, and address fears regarding the lack of dollars currently in circulation.
Furthermore, Abou El Enein discussed the need to improve security in Egypt, particularly in touristic regions, in addition to increasing the flow of investment into the country by providing incentives to businessmen.
He added that it would be necessary to re-open and utilise factories that had been shut down, in the hope of providing increased work opportunities and increasing the country’s overall rate of growth. This, he said, would require applying new standard specifications for imported products, which would include taking steps to curb smuggling.
Abou El Enein further emphasised the need to create an economic vision for the future for both the medium and long terms, in order for Egypt to begin down the path towards true development.
He also suggested that Egypt divide itself into economic regions, with the governor of each region being granted special decision-making authorities. He added that he hoped to return to a system where special privileges and grants would be provided for projects located in promising regions that had a high potential for industrial development.
He emphasised the need to work with both Europe and the US in opening up new markets for the sale of Egyptian products, in addition to converting the country’s Free Trade Agreement with the European Union into a Free Trade Zone. He added that he hoped to see the signing of a similar Free Trade Agreement with the US.
Adly Hussein, member of the European Egyptian Council of Businessmen, stated it would be impossible to convince foreign investors to do business in Egypt if they did not feel that their Egyptian counterparts were confident enough to do so themselves. He added that he was “shocked at the extent to which the current government was willing to create an air of hostility and put distance between itself and the country’s judges, media outlets and farmers.”
He added that it was impossible for the central government to accomplish everything on its own. He called for de-centralisation and allowing local leaders to be entrusted with efforts to pursue growth and development.
Hani Abu Al-Fotouh, member of the council, said that it would be necessary for businessmen, cultural leaders and intellectuals to join together to discuss and brainstorm ways to address Egypt’s economic crisis and come up with solutions.
He added that it would be impossible to speculate as to when foreign investment would begin to flow into the country, saying that many hoped that this would begin after the conclusion of Egypt’s upcoming parliamentary elections. However he added that for this to happen it would be necessary for parliament to successfully propose, monitor and control legislation in order help to guide the country out of this critical stage.
Nabil Helmi, law professor at Zagazig University, emphasised the need to look forward in order to achieve “transitional” and/or “conciliatory” justice for businessmen engaged in disputes with the government.
He added that Egypt would not see an increase in local or foreign investment without the pursuance of a concerted campaign of reconciliation similar to that undertaken by Nelson Mandela in South Africa after his rise to power.
Samir Reyad, member of the Council’s Board of Directors, said that respect for the rule of law, and of the Egyptian people’s choice of capable leadership, is necessary to ensure that the country eventually moves out of its current transitional phase.
