Al-Mashat Says BRI Is Consistent with National Development Priorities

The Minister of International Cooperation H.E. Dr. Rania A. Al-Mashat said that Egypt and China have close relations and pivotal investment and economic partnerships, and that the Belt and Road Initiative (BRI) launched by China in 2013 is consistent with national development priorities and the goals of Egypt's Vision 2030. Egypt has a distinguished geographical location linking the continents of the world, the presence of the Suez Canal Economic Zone and its pivotal role in the maritime road network within the BRI and the fact that the Suez Canal is one of the most important sea lanes for global trade that connects the continents and acquires a significant proportion of global trade.

This came during H.E.’s participation in the opening session of the Conference of Arab and Chinese Businessmen in its 10th session in the Kingdom of Saudi Arabia, on "Investment and Financing along the Belt and Road Initiative", with the participation of the Saudi Minister of Investment H.E. Dr. Khalid A. Al-Falih, President of the Omani Investment Authority H.E. Abdul Salam Al-Murshidi, Founder and Chairman of ACWA Power Mohammad A. Abunayyan, Chairman of the China Council for the Promotion of International Trade Ren Hongbin, and Chairman of Hang Lung Properties Ronnie C. Chan.

Al-Mashat indicated that innovative financing is one of the main factors that promote development in countries benefiting from the BRI, and that with the launch of the initiative in 2013, there was a tendency on the part of China to provide development funds to countries along the line of the Belt and Road Initiative to implement infrastructure projects.

The Asian Infrastructure Investment Bank (AIIB) is one of the institutions supporting this approach, pointing out that Egypt is a founding member of this bank, which is one of Egypt's development partners to finance the implementation of many development projects, in addition to joining recently the New Development Bank (NDB) of the "BRICS" bloc, which promotes South-South cooperation and encourages integration between emerging countries to promote common development. In addition, since the launch of the initiative, many Chinese companies operating in the Suez Canal Economic Zone have been present, including TEDA, which is located in the industrial zone in Sokhna, to develop and develop an area dedicated to attracting Chinese and foreign investments and establishing Projects in many competitive sectors, including electrical appliances, textiles, information technology, and others.

H.E. pointed out that with the launch of the Chinese BRI in conjunction with the continuous progress in the plan to develop the axis of the Suez Canal economic zone, cooperation between China and Egypt in the fields of trade, investment and infrastructure developed steadily and achieved fruitful results, and during the past ten years Teda Egypt has become one of Important platforms for economic and commercial cooperation and cultural exchange between China and Egypt. One of the most important achievements that TEDA has been able to achieve is the stability of several joint venture companies in the region with more Chinese investments in the Suez Canal economic zone, coinciding with the state's efforts to stimulate foreign direct investment in Egypt, and to strengthen partnership between the government, the private sector, and major Chinese companies in the zone, due to its privileges stimulating investment.

Al-Mashat stated that the BRI is working to promote development in many vital sectors, which are a priority for Egypt within the framework of its development vision for the year 2030 to implement the SDGs, such as upgrading infrastructure in the fields of transport, energy, information technology and utilities linking projects. It is consistent with development priorities, in terms of stimulating economic growth and industrialization, enhancing trade and economic cooperation, and increasing intra-trade and financial integration.

H.E. stressed that the objectives of the initiative are consistent with the efforts of the Egyptian government to launch a number of mega projects with great returns and various investment opportunities, foremost of which is the development axis of the Suez Canal region, based on the establishment of an industrial, commercial and logistical center, which is a promising opportunity for Chinese companies and members countries of the initiative, and other countries from around the world wishing to benefit from Egypt's strategic location, as a center for production and re-export of products to various countries of the world, especially to those countries with which we have free trade agreements, especially in the Arab region, Africa and Europe.

Al-Mashat stressed the importance of the concepts of transformation into Green economy to promote development within the BRI, as key areas of partnership between the private sector from China and Arab countries as well as governments, especially in light of the great trend in the world to increase reliance on renewable energy sources and green hydrogen generation, explaining that in this regard, the Government of Egypt holds partnerships with various countries of the world and the local and foreign private sector to enhance its vision to confront climate changes and stimulate the transition to a green economy.