Egypt’s Suez Canal Economic Zone Sees $3.2 Billion in Investments Amidst Global Economic Disruption
In a period spanning from July 2023 to April 2024, Egypt’s Suez Canal Economic Zone managed to secure 144 projects amounting to $3.2 billion, marking a decrease from the $4.9 billion recorded in the previous year. This achievement comes at a crucial time as the global economy faces turmoil due to ongoing attacks in the Red Sea since October, causing disruptions in container shipping traffic and global trade.
Impact on Trade and Investments
The International Monetary Fund reported a 50 percent drop in Suez Canal trade in the first two months of 2024 compared to the previous year, along with a 32 percent decrease in trade through the Panama Canal. Despite these challenges, the Egyptian Cabinet revealed that out of the 144 projects, 67 have received final approvals while 77 have initial approvals, creating over 25,000 job opportunities.
Chinese Investments and Green Hydrogen Projects
Chairman Walid Gamal El-Din shared insights on Chinese investments in the special economic zone TEDA, with 42 existing projects and more underway. Additionally, progress has been made in green hydrogen projects, with multiple agreements signed and development work in the ports reaching high implementation rates.
Development Progress and Future Prospects
El-Din highlighted the significant progress in various ports within the economic zone, emphasizing the authority’s commitment to attract businesses and provide access to regional markets. With world shipping traffic heavily reliant on the Suez Canal, these developments are crucial for Egypt’s foreign currency earnings and economic growth.