Greece-Egypt investment relations on positive course
Efraimoglou also highlighted opportunities to strengthen the Greek investment presence in Egypt as part of the Egyptian government's strategy to attract foreign investment in, for example, renewable energy, freight management, and telecommunications.
She stressed that Greek businesses are highly interested in the Egyptian market.
Ahram Online: How would you describe the status of trade relations between Egypt and Greece?
Sofia Kounuenaki Efraimoglou: Over the past 15 years, Greece's economic relations with Egypt have been significantly strengthened. Today, despite the uncertainty affecting global trade, business cooperation is satisfactory. The volume of bilateral trade has been growing steadily. In 2022, it exceeded €2 billion, showing an increase of 17.8 percent, compared to 2021. From 2018 to 2022, bilateral trade demonstrated an increase in services. Investment relations are also on a positive trajectory due to the presence of important Greek companies in the Egyptian market.
AO: What are the main areas of cooperation between Egypt and Greece, including areas with considerable potential for development?
SKE: There are currently several areas of bilateral cooperation where the know-how of Greek companies is employed to serve the needs of the Egyptian market.
I would single out the energy sector, in which the two countries have built on exemplary cooperation by joining forces between their public and private sectors. In the renewable energy sector, Egypt has a significant surplus of capacity. Consequently, there are significant opportunities for cooperation in exchanging technology and expertise and establishing production units.
The construction sector is another potential field of cooperation, where specialized Greek companies participate in major infrastructure projects in Egypt. These projects include providing know-how in environmental protection technologies, water management and solid and liquid waste management, industrial equipment, digital services and telecommunications, certification services, real estate services, agriculture and agricultural equipment, the food industry, and the construction and upgrading of hotel facilities.
AO: What are the challenges facing cooperation between Greece and Egypt, and what are the opportunities for further strengthening economic cooperation between the two countries?
SKE: The challenges for export trade and investment are certainly high due to ongoing global geopolitical instability. However, it is precisely in these circumstances that regional economic cooperation between friendly countries becomes even more important.
I believe there is scope for diversifying the portfolio of Greek exports with products that meet the needs of Egyptian consumers. Industrial goods, chemical services, clothing and footwear, and food are some sectors of potential interest.
Greece can also act as a transit hub for natural gas exports from Egypt. The envisaged electricity interconnection between the two countries will increase the security of the energy supply and improve the economic and social well-being of Egypt, Greece, and other European countries.
AO: How do you see the role of ACCI in promoting bilateral trade and investment?
SKE: At the ACCI, we have highlighted enhancing our members' extroversion. We organize highly effective business missions and networking activities and support the participation of our member companies in international sectoral exhibitions. We also provide valid and targeted business information and quality support services across the entire spectrum of export activity.
Regarding the Egyptian market, we support implementing the objectives set out in the institutional cooperation framework between the two countries through a series of bilateral agreements. Based on our expertise and experience, we are willing to contribute to the success of any new cooperation and take advantage of opportunities in areas of common interest.
AO: What is your advice to businesses intending to explore opportunities in Greece and Egypt?
SKE: Greek businesses are highly interested in the Egyptian market. This is why they participate in major exhibitions in Egypt and conduct awareness-raising activities for the local market.
This Greek interest may, with proper planning, result in fruitful and mutually beneficial partnerships.
AO: In general, what challenges does the Greek economy face?
SKE: Despite the deteriorating international environment, the Greek economy remains on a positive trajectory in 2024, demonstrating consistently a higher growth rate than the eurozone average. Last year, Greece also regained its investment grade rating, thus ensuring better conditions for public and private sector financing.
Therefore, we feel optimistic about the prospects for the Greek economy and the business confidence it inspires, which translates into increased investment and hiring intentions.
AO: How do you see the current economic landscape in Greece? And what is the role the Chamber plays in shaping it?
SKE: After several crises, the country's businesses work at present in a significantly improved environment. They have access to more opportunities and tools to finance their investment projects. Conditions are favourable for mobilizing investments, which can accelerate business growth and the productive transformation of the national economy.
As an adviser to the government, the ACCI works closely with the relevant ministries and develops comprehensive policy proposals that contribute to a consistently better and sustainable business and economic environment. Besides promoting pro-business policies, we support our member companies with various services and action plans that help them meet their goals.