Transport
From The Report: Egypt 2018
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From urban transit to seaports and airports, the country’s transport network is poised for a significant upgrade. Although demand is unpredictable and subdued in certain segments, the emphasis on developing strong transport infrastructure should provide opportunities to investors and operators alike. In the third quarter of FY 2016/17 the transport and storage sector grew at a rate of 4.4%, just above that of the overall economy, which expanded by 4.3%. As economic growth picks up speed, there will be plenty of opportunities for growth in operations and services, and the government is seeking to ensure that the country has the necessary infrastructure to meet heightened demand.

This chapter contains interviews with Safwat Musallam, Chairman, Egypt Air; and Ayman Khattab, President and CEO, General Electric (GE) North East Africa; and Vice-President, South Gulf and East Africa, Baker Hughes GE.

Articles from this Chapter

Overview

Priority works: Public and private initiatives are set to enhance infrastructure and boost efficiency
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While the impact of Egypt’s economic reform programme is being felt acutely in the transport industry, the sector has become a particular focus of investment attention. From urban transit to seaports and airports, the country’s transport network is poised for a significant upgrade. Although demand is unpredictable and subdued in certain segments, the emphasis on developing strong transport infrastructure should provide opportunities to investors and operators alike. General Environment Egypt’s…

Interview

Rising contender: Safwat Musallam, Chairman, Egypt Air, on making the country’s aviation industry more competitive
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Interview:Safwat Musallam How do Egypt’s airport facilities compare with those of neighbouring countries? SAFWAT MUSALLAM: There are 26 airports in the country, with two upcoming ones: Sphinx International Airport and Katameya International Airport. Cairo’s airport compares very positively to most African airports. Most GCC countries’ airports are very new and they had enough resources to build adequate facilities. From a technological point of view, the country has very high quality…

Interview

Removing hurdles: Ayman Khattab, President and CEO, General Electric (GE) North-east Africa; and Vice-President, South Gulf and East Africa, Baker Hughes GE, on refurbishing existing railways
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Interview:Ayman Khattab How would you characterise the current condition of Egypt’s rolling stock? AYMAN KHATTAB: As one of the oldest in the world, Egypt’s railway system has long played a pivotal role in the movement of people and goods across the country. However, it is no secret that rail infrastructure in Egypt needs significant upgrading. As such, the Ministry of Transportation (MoT) and Egyptian National Railways (ENR) have embarked on an ambitious development plan for the sector,…

Analysis

The right track: Authorities are investing in developing the rail network
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While the trucking industry, Egypt’s main form of freight transport, is being constrained by the reduction in fuel subsidies and the higher cost of imported fuel as a result of local currency depreciation, rail is primed for development. Egypt has a long history of rail transport. The country developed a rail network in the 19th century under colonial rule, and has one of the most extensive networks in the Middle East and Africa. The national network has approximately 5000 km of track,…

Analysis

Fertile ground: New tech start-ups offer more choice for public transport users
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The government is hoping to ease congestion in Egypt’s major cities and transform local economies; however, these public-led urban transport initiatives are also being met with exclusive endeavours from the private sector. Indeed, tech start-ups are eyeing the transport sector as an area of opportunity in the market. Companies such as the US-based and UAE-headquartered ride hailing apps Uber and Careem, and Misr for Technology and Projects ( MisrTech), a technology-driven mass transit firm,…

Analysis

Big plans: Although traffic through the Suez Canal has fallen, the authorities are confident about its long-term potential
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Despite a difficult global environment, the authorities are forging ahead with plans to further develop the Suez Canal, and place it at the centre of the country’s economic growth and employment creation. In August 2015 the government inaugurated the Suez Canal expansion. The project, which cost $8.6bn, was completed in record time and now allows for two-way traffic along the entire length of the waterway. Given the reduction in waiting times and the potential concomitant cost savings,…