Robbiki Leather City is getting an EGP 2 bn Turkish project?

Egypt Attracts Foreign Investment in Leather and Textile Sectors, Secures Financing for Expansion

Egypt is witnessing increased foreign direct investment (FDI) in its manufacturing sector, with new projects planned in the leather and textile industries. Additionally, a major food company subsidiary has secured significant financing for expansion.

An unnamed Turkish leather company has expressed interest in establishing a EGP 2 billion (approximately USD 39.5 million) leather factory in Robbiki Leather City. The company has requested an 80,000 square meter land plot from the Industry Ministry, and negotiations are currently underway. This development follows the full allocation of 43 ready-made factories in Robbiki Leather City’s initial offering earlier this year, reflecting the government's efforts to promote Egypt as a key leather exporter.

In the textile sector, Chinese company Gold Star has signed an agreement with the Suez Canal Economic Zone to establish a USD 4.5 million ready-made garment facility in the Qantara West Industrial Zone. The 23,000 square meter facility will focus on exports and is expected to create 2,000 jobs. This project adds to the growing number of textile facilities planned for Qantara West by foreign manufacturers, including two projects worth USD 28 million signed with Chinese companies earlier in the week.  

On the financing front, Juhayna Food Industries' subsidiary, Tiba for Trade and Distribution, has secured EGP 400 million in financing from Commercial International Bank (CIB). The medium-term loan, with a tenor of approximately four years, will support Tiba’s expansion and operational efficiency, specifically by funding the acquisition of vehicles and coolers to enhance its distribution operations.

In the energy sector, the Oil Ministry has announced investment opportunities for 13 new oil and gas exploration blocks. The offerings include seven undeveloped fields in the Mediterranean Sea and six exploration blocks in the Gulf of Suez and Western Desert, available through the Egypt Upstream Gateway. The bidding window will remain open for two months, until May 4.  

Furthermore, Egypt and Iraq are exploring opportunities for enhanced energy cooperation.

Oil Minister Karim Badawi met with his Iraqi counterpart Hayan Abdul Ghani in Baghdad to discuss potential initiatives, including refining Iraqi oil at Egyptian refineries. They agreed to establish a joint steering committee to implement the discussed energy cooperation.