Egypt’s Suez Canal Economic Zone (SCZone) reported a significant increase in revenues to EGP8.245 billion ($170.7 million) during the fiscal year 2023-2024, 72 percent of which are in U.S. dollars, according to a recent government statement.
SCZone chairman Waleid Gamal El-Dien stated in a meeting with Prime Minister Mostafa Madbouly that the revenues include the earnings of Sokhna Port, East Port Said Port, West Port Said Port, Adabiya Port, Arish Port, and El-Tor Port. In addition, the Suez Canal’s revenues include the proceeds from usufruct rights, financial investments and desalination plants, among others.
The fiscal year 2023-2024’s growth marks a significant 205 percent increase from EGP2.76 billion in 2016-2017, stated Gamal El-Din.
Gamal El-Din also highlighted the importance of integrating ports, industrial zones and logistics within the special economic zone’s framework. He added that this strategy has positively impacted the revenue of similar zones in neighboring countries.
Project development
During fiscal year 2023-2024, Egypt’s Suez Canal secured contracts worth $5.116 billion for 218 projects. Of these, 98 projects with a value of $2.225 billion received final approval. Meanwhile, 120 projects worth $2.891 billion were granted preliminary approval.
Egypt expects these projects to create over 25,000 direct and indirect job opportunities upon completion.
The number of final approvals for projects increased to 98 in the 2023-2024 fiscal year from 59 in the previous fiscal year, with a corresponding rise in investment value from $1.99 billion to $2.891 billion, Gamal El-Din added.
Port projects in the Suez Canal zone also saw growth, with seven projects worth $1.359 billion initiated in the past fiscal year compared to only two projects totaling $30 million in the previous year.
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Economic zone sees surge in foreign investment
The Suez Canal economic zone attracted investments from both domestic and international companies, with 89 firms committing to projects worth EGP2.646 billion, $110.5 million, and 300,000 euros during 2023-2024.
Notably, foreign investment from countries including China, India, Turkey, the UAE, Germany, South Korea, Japan, France, Saudi Arabia, Canada, Syria, the United States, Greece, and Jordan accounted for 47.2 percent of this total.
