Egypt's PM discusses state ownership policy with World Bank officials

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Egyptian Prime Minister Mostafa Madbouly convened with World Bank (WB) representatives on Sunday to review the International Finance Corporation’s (IFC) technical assistance in enacting Egypt’s State Ownership Policy and the Government Corporate Governance Document.

Madbouly underscored the government’s dedication to the policy, citing the Cabinet’s recent endorsement of a bill to form a central authority to supervise state enterprises. This body will possess definitive power over governance and procedural execution for these entities.

In attendance were Rania Al-Mashat, Egypt’s Minister of International Cooperation; Stephane Guimbert, WB Country Director for Egypt, Yemen, and Djibouti; and Mark Ahern, WB Lead Economist for the same regions.

Previously, the IFC was designated as the strategic consultant for the government’s Asset Monetization Program, aimed at leveraging private investment and expertise in managing state assets. This initiative is integral to the State Ownership Policy, introduced in December 2022 to bolster the private sector and stimulate economic expansion. It marks the inaugural pact under the World Bank Group Egypt Country Partnership Framework, established in collaboration with the Egyptian government and initiated in March 2023.

Furthermore, Madbouly highlighted the new unit’s accountability for all governance-related decisions and actions of state companies, ensuring adherence by the respective ministries.

Minister Al-Mashat mentioned ongoing dialogues with the International Monetary Fund (IMF) to integrate global best practices in state asset management and foster private-sector engagement.

Guimbert lauded the swift advancement of the technical support initiative and the robust collaboration of state departments.

Ahern detailed the reform strategies within the support programme, focusing on governance enhancement, financial management refinement, and competitive augmentation.

The assembly also addressed the progress of sector-specific workshops and the ambition to establish transparency and governance norms in the stewardship of state-owned enterprises and assets.