Sunday, February 5, 2023
HomeHeadlinesSuez Canal Open to Foreign Investment, But Will Keep Sovereignty Protected


To our FREE newsletter
Get all the latest maritime news delivered straight to your inbox.

Suez Canal Open to Foreign Investment, But Will Keep Sovereignty Protected

Egypt’s Suez Canal welcomes foreign investment but foreigners would have no control over the waterway or over a proposed fund that would help to manage its resources, the head of the Suez Canal Authority (SCA) said on Thursday.

SCA Chairman Osama Rabie was speaking to reporters after legal amendments providing for the fund were discussed in parliament this week, triggering speculation they would open the door to selling stakes in the canal to foreigners. 

The fund, under discussion for several years, was designed to guard the canal’s resources for reinvestment, as well as to help it face unexpected challenges or crises, Rabie told a press conference.

“We cannot sell the canal or rent it. It is the property of Egypt and the Egyptians,” Rabie said, referring to lives lost during the construction of the canal in the 1860s. 

The fund would be separate from the SCA, which already works with foreign companies to develop projects, Rabie said. “The investor will come in connection with the project that is being done, they will not come to the fund.” 

The cabinet also denied this week that the fund was a “back door to selling the canal.”

Egypt is trying to drum up foreign and private sector investment, especially from hydrocarbon-rich Gulf states, to help address a hard currency shortage that has hampered imports and slowed some economic activity. 

The canal, the quickest sea route between Asia and Europe, is a major earner of foreign exchange for Egypt and is expecting revenues of $8 billion during the fiscal year that ends in June.

Former Egyptian President Gamal Abdel Nasser’s nationalization of the Suez Canal in 1956, which led to a failed British invasion, is seen as one of the modern Egyptian state’s major achievements. 


Related Posts


Finance & Economy
Shipping News

Keppel Corp posts 9% drop in full-year profit

Singapore’s Keppel Corp said on Thursday its net profit for the year fell 9%, partly hurt by weak performance from its urban development business...

Stolt-Nielsen sees Q4 profits rise on strong markets

Stolt-Nielsen Limited reported unaudited results for the fourth quarter and full year 2022. The Company reported a fourth-quarter net profit of $95.3 million, with revenue...

Euronav delivers better-than-expected Q4 revenue

Euronav NV reported its non-audited financial results for the fourth quarter ended 31 December 2022. Hugo De Stoop, CEO of Euronav said: “Constrained vessel supply...

Wartsila: A challenging year with strong annual growth

HIGHLIGHTS FROM OCTOBER–DECEMBER 2022 Order intake decreased by 24% to EUR 1,638 million (2,150)Service order intake increased by 6% to EUR 791 million (747)Net sales...

Hapag-Lloyd achieves extraordinarily strong result in its anniversary year 2022

On the basis of preliminary and unaudited figures, Hapag-Lloyd has concluded the 2022 financial year – in which it celebrated its 175th anniversary –...

Baltic index hits over 2-year trough on waning demand for larger vessels

The Baltic Exchange’s dry bulk sea freight index dropped to its lowest level in...

Luxury Cruise Market Holds Much Promise For Greek & East Med Hidden Gem Destinations

The appeal of Greece and the East Mediterranean as an ideal region for luxury...

Baltic index falls to over 2-year low as larger vessel rates slide

The Baltic Exchange’s dry bulk sea freight index fell to its lowest since June...

Baltic index logs worst month in 3 years

The Baltic Exchange’s main sea freight index registered its biggest monthly percentage fall in...

Baltic index snaps 9-day losing streak as panamax, supramax rates rise

The Baltic Exchange’s main sea freight index snapped its nine-session losing streak on Tuesday,...

DP World wins bid for development of a mega-container terminal at India’s Deendayal Port

DP World has won a major concession to develop, operate and maintain the mega-container terminal at Deendayal port in Gujarat, on the western coast...

Luxury Cruise Market Holds Much Promise For Greek & East Med Hidden Gem Destinations

The appeal of Greece and the East Mediterranean as an ideal region for luxury cruising will be one of the main highlights of the...

Port of Los Angeles proposes cruise terminal project

The Port of Los Angeles is inviting comments on a draft Request for Proposals (RFP) for the future development of a new Outer Harbor...

Port of Long Beach Closes 2022 with Second-Busiest Year

The Port of Long Beach marked its second-busiest year on record by moving 9.13 million twenty-foot equivalent units in 2022, allowing for a return...

Hapag-Lloyd AG acquires share in J M Baxi Ports & Logistics Limited

Hapag-Lloyd AG signed a binding agreement today under which it will acquire 35% of J M Baxi Ports & Logistics Limited (JMBPL) from a...