Gold market expert Saeed Embabi said that Egypt’s drive to localize investment in gold-backed funds will provide individual and institutional investors with a regulated and transparent financial instrument, enabling them to benefit from gold price movements without the need for physical possession of the metal. This, he noted, would expand the investor base and deepen market liquidity. He added that amending laws to encourage such funds would strengthen market confidence and attract new capital, both domestic and foreign.
Embabi also stated that establishing gold refineries represents a qualitative leap in the industry’s infrastructure, allowing Egypt to control production quality and reduce reliance on foreign facilities for refining. Moreover, these refineries could offer services to regional markets, positioning the country as a regional center for gold trade and manufacturing.
He highlighted that this step is also important for supporting the non-oil economy and diversifying sources of income, in addition to creating direct and indirect job opportunities in mining, refining, marketing, and logistics. It would also enhance Egypt’s ability to leverage its geographic location as a gateway for trade between Africa and the Middle East.
During the weekly cabinet meeting, Prime Minister Dr. Mostafa Madbouly confirmed that the government is moving toward localizing investment in gold-backed funds in the coming period by introducing amendments to certain regulatory laws, aiming to boost this type of investment amid growing public interest in gold as a hedging and investment tool.
Madbouly also pointed out that Egypt is working on establishing multiple gold refineries to meet domestic market needs and provide services to foreign markets, reinforcing the country’s position as a regional hub for the gold industry and trade.
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