Egypt and Greece: Steps toward stronger connections

Expanding Energy Cooperation

Egypt and Greece have taken significant steps to enhance their cooperation in the energy sector. On Thursday, the two nations agreed to strengthen their collaboration in the supply of liquefied natural gas (LNG) and to explore the potential of constructing a subsea gas pipeline linking the two countries. This initiative is part of Greece's strategy to diversify its energy sources and establish itself as an energy hub in Southeastern Europe. The agreement was formalized through a memorandum of understanding signed in Cairo, marking a critical step towards specific agreements between Egyptian and Greek companies.

Strengthening Maritime Links

In a bid to boost maritime connectivity, Egyptian Ambassador to Athens Omar Amer met with Greek Minister of Maritime Affairs Christos Stylianides. They discussed enhancing cooperation on shipping and establishing direct sea freight links between the ports of Alexandria and Volos. This collaboration aims to facilitate the movement of goods and people between the two countries. A memorandum of understanding is set to be signed later this month to officially launch the sea freight service during the first session of the Egyptian-Greek Marine Committee.

Addressing Labor Shortages

Greece is set to welcome approximately 5,000 seasonal farm workers from Egypt this summer under a 2022 agreement designed to tackle labor shortages. The Greek Migration Ministry highlighted the mutual benefits of this arrangement, which might also be extended to the construction and tourism sectors. This initiative comes as Greece experiences economic growth but struggles with a labor shortage due to a declining population and strict migration rules. Greek Migration Minister Dimitris Kairidis and Egyptian Labour Minister Hassan Shehata also discussed enhancing cooperation to prevent illegal migration flows in the region.

Advancing Electrical Interconnection

Egypt is actively consulting with the European Union to secure a €2 billion grant for implementing electricity interconnection projects with Greece and Italy. These projects aim to integrate the Egyptian electricity grid with the European network, providing clean energy to Europe. This ambitious plan involves substantial investments and is expected to benefit all parties involved. Feasibility studies are ongoing, and private companies have shown significant interest in participating in these projects.

Economic and Trade Relations

The trade and economic relations between Egypt and Greece have seen notable improvements. In 2022, the volume of trade exchange between the two countries increased by 21%, reaching approximately €2.56 billion. Greek investments in Egypt have also grown, totaling $255 million across 215 projects in various sectors, including finance, industry, services, construction, tourism, agriculture, communications, and information technology. Greece currently ranks 11th among European Union countries contributing to Egypt's economy.

Conclusion

The recent agreements and discussions between Egypt and Greece reflect a robust and growing partnership aimed at enhancing economic, energy, and labor cooperation. These developments not only strengthen bilateral ties but also contribute to regional stability and prosperity. The continued collaboration between the two nations holds promise for even greater achievements in the future.