The Ministry of Public Enterprises has launched a sweeping reform initiative aimed at revitalizing Egypt’s state-owned companies, according to Minister Mahmoud Esmat El-Shimy. The plan is designed to modernize operations, boost efficiency, and improve competitiveness across public-sector enterprises.
Speaking during a press conference on Monday, El-Shimy stated that the reform strategy focuses on restructuring outdated business models, upgrading industrial technologies, and adopting modern management practices. The ministry aims to transform public companies into profitable and sustainable entities capable of contributing meaningfully to the national economy.
“We are no longer tolerating inefficiency or stagnation,” El-Shimy said. “This plan is a turning point. Our goal is to make state-owned companies leaner, more competitive, and aligned with Egypt’s economic vision.”
The overhaul will include:
- Digital transformation of administrative and operational systems
- Governance reforms to ensure transparency and accountability
- Investment in modern machinery and production lines
- Human capital development through training and upskilling programs
The minister highlighted the importance of public-private partnerships (PPPs) in the reform process, indicating that collaboration with the private sector will be key to ensuring the sustainability of the initiative.
“We’re looking to attract both local and foreign investors into viable sectors,” El-Shimy added. “This will not only bring in much-needed capital but also global expertise that can fast-track our modernization goals.”
The plan is expected to roll out in phases, beginning with the evaluation of financially distressed companies and identifying those with the potential for recovery. Strategic sectors such as textiles, metallurgy, and chemicals have been prioritized in the first wave of reforms.
Economic analysts have welcomed the move as a long-overdue step toward reducing the financial burden of underperforming state enterprises on the national budget.
If successfully implemented, the reform could serve as a model for broader economic restructuring across Egypt’s public sector. El-Shimy affirmed that the ministry will issue regular updates and performance metrics to ensure transparency and public accountability throughout the process.
