According to the latest data of the Central Agency, the same period of the previous fiscal year 2022/2023 recorded the entry of Saudi investments estimated at 2.3 billion dollars.
The data issued also revealed that Egyptian investments in Saudi Arabia amounted to $147.1 million during the first 9 months of the fiscal year 2023/2024, compared to $190.1 million during the same period of the fiscal year 2022/2023.
According to the Egyptian Authority’s data, the value of remittances from Egyptians working in Saudi Arabia amounted to $8.3 billion during the fiscal year 2022/2023, compared to $11 billion during the fiscal year 2021/2022.
The value of remittances from Saudis working in Egypt amounted to $26.1 million during the fiscal year 2022/2023, compared to $17.1 million during the fiscal year 2021/2022.
Saudi Arabia is Egypt’s second largest trading partner, as the volume of trade exchange between Saudi Arabia and Egypt reached $12.8 billion in 2023.
According to data from the Federation of Saudi Chambers of Commerce, the volume of trade exchange between the Kingdom and Egypt amounts to about 48 billion riyals, with the value of Saudi imports from Egypt estimated at 20 billion riyals, and Saudi exports to Egypt amounting to 28 billion riyals.
Saudi-Egyptian relations have witnessed many notable milestones in recent years, including the announcement of deals worth $30 billion during Prince Mohammed bin Salman’s visit to Cairo in 2021.
Source: RT and Cairo 24
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**Interview with Dr. Ahmed El-Masry, Economic Analyst**
**Editor:** Dr. El-Masry, thank you for joining us today. The latest data indicates a notable decline in Saudi investments in Egypt, dropping from $2.3 billion last fiscal year to a mere $147.1 million this year. What do you believe are the key factors contributing to this steep decline?
**Dr. El-Masry:** Thank you for having me. The drop in Saudi investments can be attributed to several factors, including political tensions, regional economic shifts, and perhaps a reassessment of investment strategies by Saudi investors. The current economic landscape has certainly changed, and this is reflected in these numbers.
**Editor:** Interesting points. Also, Egyptians working in Saudi Arabia sent home remittances amounting to $8.3 billion last fiscal year, down from $11 billion the year before. What implications could this decrease have for the Egyptian economy?
**Dr. El-Masry:** Decreased remittances can significantly impact the Egyptian economy, particularly in terms of consumer spending and foreign currency reserves. Families relying on these funds may face economic challenges, which could also influence local markets.
**Editor:** With Saudi Arabia being Egypt’s second-largest trading partner and the trade exchange totaling $12.8 billion in 2023, how might these investment fluctuations affect trade relations?
**Dr. El-Masry:** While trade volumes remain substantial, the reduction in investment can create a rift over the long term. If investors perceive Egypt as less stable or less profitable, they may hesitate to engage further. This could lead to an imbalance in trade benefits for both countries.
**Editor:** considering the longstanding history of cooperation between Egypt and Saudi Arabia, particularly with landmark agreements like the $30 billion deals during Prince Mohammed bin Salman’s visit in 2021, what do you think this shift in investments signals for the future of Saudi-Egyptian relations?
**Dr. El-Masry:** It raises questions about the sustainability of that relationship. While historical ties are strong, investment levels reflect current trust and confidence. The future will depend on both governments working closely to address underlying issues that might be causing this decline.
**Editor:** Thank you, Dr. El-Masry. This brings us to a crucial question for our readers: What do you think is the primary cause of the decline in Saudi investments in Egypt, and how might this impact the larger diplomatic and economic relations between the two nations? Share your thoughts below.
