Source: alborsaanews

Dr. Ibrahim Mustafa

Chairman of the Investment Committee

Within the framework of the current state policy towards encouraging the private sector and restoring its contribution to total investment to reach 65-70% as it was in the past, and because it is the main partner in sustainable economic development, and in light of the many demands for the state to exit economic activity and make room for the growth of the private sector, whether from specialists in economic affairs, or from many businessmen or international institutions, and within the framework of the state ownership policy document that is currently being reviewed, which expresses the state’s intention to gradually exit a large number of companies in various economic activities ,  the Prime Minister held a meeting with a number of businessmen of heavy caliber in various economic activities whose companies have significant weight in the local, regional and international markets in various sectors, and because they represent a large part of the mirror of the economy and investment in Egypt and their opinion is being sought by all investment and economic institutions regarding the situation in Egypt.

Although it was preceded not long ago by a meeting with entrepreneurs and the formation of a committee within the Council of Ministers to handle all issues related to entrepreneurship and the development of their businesses, I hope that such dialogues and meetings will continue in an institutional and effective manner to bear the desired fruits.

Perhaps this article will address the recent meeting with businessmen, with its pros and cons, due to its importance and strong significance, and the topics it touched upon that affect the investment climate and the growth of the private sector. However, before we begin to address the challenges mentioned in that meeting, I recall some observations that, if taken into consideration, would have had a better impact on the outcome of the dialogue and its results and the image it should have emerged with, especially since it was broadcast to everyone and was seen by those inside and outside the country from various spectrums and institutions. These observations range between the lines of the answer to the following questions: What if an agenda for this dialogue had been prepared before it was held and sent to all participants to provide an analysis of the real challenges, their effects and solutions? What if the goals and outcomes of the dialogue were specific, and what were the messages that should have come out with it to everyone who witnessed it? What is the difference between this dialogue and other existing initiatives such as the National Dialogue Committee, the Prime Minister’s Economic Advisory Council, and the Supreme Investment Council? Were elite businessmen participating in these initiatives represented, and what were their contributions to them if they were represented? Will the specialized advisory committees that will be formed from those who participated in the last meeting be parallel to these initiatives, or how will coordination between them be conducted to confront the challenges that everyone knows that face the business community and develop practical solutions for them in the short, medium and long term? Was the recent process of merging ministries appropriate or was there a better vision? Will the restructuring of the bodies currently underway address some of the challenges related to overlapping or similar competencies? Many legitimate questions are circling on the horizon.

There is no doubt that holding this dialogue has advantages and disadvantages. One of its most important advantages is the state’s keenness to hold a dialogue with the private sector and involve it in development and reform processes. This is a commendable approach and must continue to improve the economic situation and investment environment. However, it requires setting a real agenda and targets and clarifying the role of each party, what the government must do and what the private sector must do in order to achieve  the SYNERGIES  and give the best possible combined results in the fastest time with quick gains that help achieve sustainable policies and gains.

The most important flaw of the dialogue, from my humble point of view, is the production process in which it was carried out. It deviated from the basics of the dialogue, which is based on two parties, the government and the private sector, headed by the Prime Minister, and with a technical secretariat that records what is said by both parties after it has been prepared logistically, objectively, and with goals explained to everyone so that it comes out in the best form and content, and the roles of each party are defined to advance the dialogue and its results. As long as it comes out in public, they engage in dialogue on topics prepared in advance to come out with results, and it is not just a meeting and a gathering. The dialogue is ongoing with its topics, goals, results, and messages that are intended to be conveyed. The goal is not to show off the strength of one party towards the other, but rather it is a dialogue for the better.

I still see this dialogue as positive despite some of its critics, especially since the opportunities for dialogue are ongoing and can produce positive results for all participants on the one hand, and for all those who have seen and are seeing it, whether local, regional or global, as Egypt, the region and the world are going through unprecedented challenges and their effects that require us to deal with them in an actual, objective and timely manner without luxury and with an acceleration that keeps pace with the acceleration of those challenges and their effects.

Therefore, it is of utmost importance to hold such dialogues with an improvement in the learning curve of each meeting and direct it towards the objectives, results and messages required to be achieved for real sustainable development and a better competitive investment climate in light of the regional and global economic situation and the challenges it imposes, as well as the intensity of competition in them to achieve better development rates and attract investments, which requires attractive, adaptive and stable policies in light of the Egyptian state’s efforts to advance the state in all fields and attract diverse investments to continue in the regional and global race.