35% growth in American investments in the Egyptian “Communications and Information Technology” sector last year
The US ambassador to Cairo, Jonathan Cohen, said that American companies are interested in investing in Egypt, and that US investments in the information and communication technology sector in Egypt increased by 35% over the past year.
He added during a meeting of the American Chamber in Cairo today that startups raised more than $ 100 million in 2020, in areas such as mobile phone payments, e-commerce, financial technology, and health technology.
He added that Egypt is in a strategic position to lead data center markets in Africa and the Middle East, and is expected to grow by doubling annually in the coming years.
He added that one of the other areas of investment that American companies want to invest in in Egypt is education, especially since Cairo has the most comprehensive educational system in the Middle East. Whether it is universities, high schools or vocational schools, the demand is strong for more international links, distance learning options, and private sector investments.
“In Cairo alone, the demand for private education from kindergarten to the end of the twelfth grade is expected to grow by more than one million students over the next decade,” he added.
Cohen mentioned that the increasing demand for health care services, and the provision of options for those services, is another area that attracts American companies to invest in Egypt.
He said that the medical city in the new administrative capital alone offers many opportunities for American companies, and with Egypt integrating more closely with the rest of the African continent, major pharmaceutical companies are looking to Egypt as a platform for expansion and innovation.
He added that world-class American companies would tend to supply the medical devices needed by Egypt’s health care system.
He explained that the agricultural sector is one of the sectors that attract US investment, and despite the pandemic, American agricultural exports to Egypt increased by a noticeable 23% in 2020, to reach nearly two billion dollars, led by soybeans, grains, dairy products and nuts.
Egyptian agricultural exports to the United States increased by 22% during the same period, reaching a record level of $ 220 million.
American companies are already active in food and beverages, raw materials and more, and American agribusiness associations are working closely with local companies to share best practices.
He pointed to opportunities to bring in American technology to increase yields and make farms more efficient, to maximize the utilization of water resources, to improve supply and production chains, and to expand the quality and availability of food and beverages required by Egypt’s population growth.
He added that investing in the new and renewable energy sector in Egypt is a top priority for American companies, especially with the availability of land, sunny weather and strong winds, making it a prime location for renewable energy projects.
American companies believe that Egypt pays attention to investing in the energy sector, especially with the government’s plans to generate more than 40% of the country’s electricity by renewable energy sources by 2035, and it is possible that the value of the renewable energy equipment market alone will reach billions of dollars, as well as designing, constructing and operating New energy facilities, new desalination plants and recycling plants.
The US ambassador in Cairo said that having a strong and empowering private sector is the best way to generate jobs and achieve economic growth, development and prosperity.
The article Cohen: American companies looking to invest in Egypt in education, health care, agriculture and energy, was written in Al Borsa newspaper.