IMF Expects Egypt to Launch Four IPOs Worth $1.5 Billion by Year-End

The Egyptian government aims to complete four major divestment transactions from state-owned assets, expected to generate around $1.5 billion before the end of its reform program in December 2026, according to the International Monetary Fund’s seventh and eighth review of Egypt’s economic reform program.

Half of the projected proceeds are intended to support the state budget. However, the IMF noted that even combined with the landmark “Land of the Romans” deal worth $3.5 billion, these revenues remain below the program’s original $6.5 billion target. 

The Fund emphasized the need to intensify efforts to ensure a level playing field between state-owned enterprises and private sector participants.

The IMF praised Egypt’s institutional progress in ensuring the sustainability of its public offering program, including a specialized unit under the Prime Minister’s office has been created to screen state-owned companies, a non-strategic firms ready for market entry will be transferred to the “Government IPO Unit” for listing on the stock exchange, as well as strategic entities will be placed under the “Egypt Sovereign Fund” to maximize their value, with restructuring plans for struggling companies.

The divestment plan reflects Egypt’s long-term effort to reduce the state’s role in the economy while promoting private sector growth. By institutionalizing the screening and restructuring of assets, authorities aim to increase transparency and attract broader foreign direct investment, rather than relying solely on direct asset or land sales.

The IMF report highlights that structural reforms and careful market preparation are crucial to achieving the program’s financial targets and ensuring sustainable growth in the private sector.