Egypt on track to achieve self-sufficiency in petroleum products in 2023

On Sunday, the Media Center of Cabinet said that Egypt is on track to achieve self-sufficiency in petroleum products in 2023, after the success in achieving gas self-sufficiency in 2018.

In a statement, the center issued a report that confirms Egypt's trend towards achieving self-sufficiency in petroleum products, which was the increase in foreign investments in the petroleum sector by 5.4 percent, reaching about $ 7.8 billion in 2019 / 2020, compared to $ 7.4 billion in 2014/2015, in addition to an increase in local investments in the sector by 90.9percent, reaching about LE 12.6 billion in 2019/2020, compared to LE 6.6 billion in 2014/2015.

It mentioned that the value of exports of petroleum products increased by 95 percent to record $3.9 billion in 2019/2020, compared to $2 billion in 2014/2015, while imports decreased by 53.3 percent, reaching $4.3 billion in 2019/2020 compared to $9.2 billion in 2014/2015.

In addition, domestic consumption of natural gas increased by 27.7 percent, reaching 60 billion m3 in 2019/2020 compared to 47 billion m3 in 2014/2015, while domestic consumption of petroleum products decreased by 27.6 percent, reaching 27.5 million tons in 2019/2020 compared to 38 million tons in 2014/2015.

The report monitored the most prominent praises related to this regard, as Fitch praised the efforts made by the Egyptian government to attract more investments to the oil and gas sectors, stressing that in the long term, investors will find huge opportunities and resources in oil projects in the Egyptian market.

In the same context, the World Bank commented that the oil and gas sectors will remain major drivers of foreign direct investment, driven by the expansion of exploration and production agreements with international oil companies.

The report indicated that the petroleum refining sector is pushing the economy to achieve growth, pointing to the most prominent indicators of improvement in this sector during the year 2019/2020, as its growth rate reached 17.3 percent, and its contribution to economic growth reached 25.8 percent, compared to -4 percent in 2014/2015.

The report noted that the percentage of public investments implemented in the petroleum refining sector amounted to 333.3 percent, reaching LE 2.6 billion in 2019/2020 compared to LE 0.6 billion in 2014/2015.