The Sovereign Fund of Egypt (TSFE) is the state’s investment arm, said Abdalla El-Ebiary, the TSFE’s Chief Investment Officer, as he outlined the fund’s objectives during his speech at the Capital Markets Annual Summit titled “Egypt’s IPOs in Motion” on Tuesday.
“The fund’s primary goal is to promote development, increase investment, and expand it. It aims to create suitable opportunities that are achieved by restructuring various companies.”
TSFE aims to maximise the state’s assets, not to sell them, El-Ebiary explained.
Instead, it aims to open up opportunities for partnership with the private sector and small and medium-sized companies, maximise the benefits of investment injection, increase capital, achieve sustainable development and profits, and create new investment opportunities in various sectors.
El-Ebiary emphasised that the Egyptian sovereign fund aims to achieve the highest return rates from any investment executed and to attract Egyptian and foreign private investment in new sectors and industries.
“The most important objective is to maximise the return and increase it, serve the Egyptian people, and benefit from attracting investments in different sectors. The fund is also studying the merger between several companies in specific sectors, but that will not be objective in the short term,” he stressed.
Moreover, he confirmed that there are major priorities for the fund related to investment offerings, including the importance of enhancing and deepening cooperation between the public and private sectors and considering partnerships between the sectors as effective and innovative tools that work to encourage the creation of new markets and stimulate private investments in various sectors and activities. Seven companies joined the Pre-IPO Sub-fund, and they are being promoted to strategic investors.
Regarding the renewable energy sector, the fund is working on injecting private sector investments into renewable energy, green hydrogen, and green ammonia sectors, as well as attracting private investment to strategic sectors, where the financial cost of such investments reached $83bn and created investment opportunities and benefits.
Furthermore, El-Ebiary stressed that the Sovereign Fund of Egypt is working to implement the state’s plans and attract investments from the private sector, especially foreign direct investment, one of the most important sources of foreign exchange for the country. It also manages state-owned companies optimally according to the best standards to maximise their value for future generations.
TSFE has succeeded in attracting investments worth billions of dollars from Arab sovereign funds while working on implementing the state’s royal policy document through a specific strategy in various strategic sectors and accelerating the pace of investment offerings.
