Egypt Targets Listing Four State-Owned Companies by Year-End

Egypt plans to complete the final stock exchange listing of four state-owned companies before the end of 2026, as the government accelerates its privatization program and broadens private-sector participation under its economic reform agenda.

Speaking to Bloomberg, Islam Azzam, Chairman of the Financial Regulatory Authority (FRA), said the four companies are among 20 state-owned firms that are currently listed on the Egyptian Exchange under temporary registration and are expected to complete the requirements for permanent listing before year-end.

The move forms part of Egypt's broader State Ownership Policy and government offerings program, which seeks to reduce the state's role in commercial activities by selling stakes in public-sector companies through the stock market or to strategic investors. The initiative is a key pillar of the country's reform program supported by the International Monetary Fund (IMF).

Azzam said the FRA is also working to increase the number of licensed brokers authorized to trade futures contracts on the Egyptian Exchange, while continuing preparations to introduce a market maker mechanism aimed at improving market liquidity and trading efficiency.

He added that approximately 700 pension funds, including both public and private schemes, currently invest in the Egyptian stock market, although he declined to disclose the size of investments made by Egypt's National Organization for Social Insurance.

Separately, Hashem El-Sayed, Assistant to the Prime Minister and Chief Executive of the State-Owned Enterprises Unit, said the government is developing a specialized program to prepare companies for stock market listings.

The initiative will support firms currently under temporary listing, as well as companies considering future public offerings, including one operating in the construction sector.

El-Sayed also confirmed that the government is restructuring Misr Spinning and Weaving Company (Ghazl El Mahalla) by splitting it into two separate entities, one of which will hold the company's recently modernized industrial assets.

The government has repeatedly stated that its privatization timetable remains on track despite recent geopolitical tensions.

Earlier this year, El-Sayed said Egypt's state offerings program had not been affected by regional developments and would continue according to the previously announced schedule.

The IMF has welcomed Egypt's efforts to strengthen domestic revenue mobilization while continuing to advance its state asset divestment program.

Last month, IMF staff reached a staff-level agreement with the Egyptian authorities on the seventh review of the country's Extended Fund Facility (EFF) and the second review under the Resilience and Sustainability Facility (RSF). The agreement, once approved by the IMF Executive Board, is expected to unlock approximately $1.6 billion in financing for Egypt.