State adopts modern approach to asset management: El-Khatib
Minister of Investment and Foreign Trade Hassan El-Khatib said the state has adopted a modern approach to managing its assets, based on comprehensive re-planning and improving efficiency of use to maximise economic returns and generate sustainable added value.
El-Khatib made the remarks during a televised interview with the global Bloomberg network on the sidelines of his visit to Davos, Switzerland, where he participated in the 56th edition of the World Economic Forum. During the interview, he outlined the state’s economic reform programme, which focuses on maximising the efficiency of state-owned assets, accelerating the transition to a green economy, and expanding private sector participation.
He highlighted the tangible impact of this approach, citing a project that was re-planned from an initial concept of approximately 300 hotel rooms into a fully integrated hospitality development comprising nearly 1,800 rooms. He noted that the project now operates at quality and performance levels exceeding international standards, demonstrating how asset reconfiguration can unlock significant economic value.
El-Khatib also pointed to Egypt’s vast potential in renewable energy, noting that the country’s theoretical capacity for solar and wind power exceeds 1,000 gigawatts, compared to actual electricity consumption of less than 40 gigawatts. He explained that the Western Desert alone has the potential to generate around 700 gigawatts, in addition to approximately 200 gigawatts from floating solar energy.
On subsidy reform, the minister said Egypt has made substantial progress in restructuring energy pricing—particularly natural gas—through the adoption of cost-reflective pricing mechanisms. He noted that these reforms have helped address structural imbalances that previously resulted in an annual deficit of around $2bn in the gas sector, supporting fiscal sustainability, improving resource efficiency, and creating a more attractive environment for investment.
El-Khatib concluded by emphasising that these policies form a cornerstone of Egypt’s strategy to build a competitive, investment-driven and sustainable economy, maximise added value from national resources, and strengthen the country’s position as a regional hub for energy and investment.
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