Naguib Sawiris expects gold to hit US$5,000 per ounce
Egyptian businessman Naguib Sawiris, chairman of Orascom Investment Holding, predicted that the price of gold would reach US$5,000 per ounce within a year or two.
The Egyptian billionaire indicated that psychological pressures and investor need for liquidity were among the reasons for the decline in gold prices, and confirmed that he will continue to invest in the yellow metal.
Sawiris said that the sharp declines in global markets are due to the policies of US President Donald Trump, who did not anticipate this sharp decline and could have implemented his economic plans in a calmer manner that would satisfy everyone.
In an interview with Al-Arabiya Business, Sawiris added that most stocks have lost 100 percent of their market value, believing that the current downturn has reached its peak and that markets will not experience a deeper collapse than this.
Sawiris noted that the US economy is heading toward recession as a result of Trump's trade decisions, which will force the Federal Reserve to cut interest rates in the coming period.
He also criticized Trump's choices for leadership positions, saying, 'A television presenter cannot be qualified to be Secretary of Defense,' referring to his unconventional appointments that have sparked widespread controversy.
Regarding more local matters, Sawiris emphasized the need to attract massive investments to boost the Egyptian economy, warning that politically motivated American pressure could have a significant economic cost for the country.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Daily News Egypt
44 minutes ago
- Daily News Egypt
Egypt inaugurates first Bosch home appliance factory in Africa with €55m investment
Egypt's Prime Minister Mostafa Madbouly inaugurated the first African factory of BSH, the German-owned home appliance giant behind the Bosch brand, marking a milestone in Egypt's industrial development and regional positioning. Located in 10th of Ramadan City, the factory represents the company's first manufacturing base on the continent, with a total investment exceeding €55m. The facility is expected to generate around 1,000 direct and indirect job opportunities, with 50% of its production designated for export to markets across Africa and the Middle East. Accompanied by key ministers and senior officials, Madbouly affirmed that Egypt's economic reforms and investor-friendly incentives have successfully attracted major global industrial players. The Bosch plant, he said, will serve as a strategic launchpad for regional expansion, leveraging Egypt's geographic advantage, skilled labour, and growing domestic market. Top executives from BSH Global attended the inauguration and praised Egypt's strategic positioning and the strong support extended by local authorities. Built over an 80,000-square-metre plot, the factory will manufacture more than 350,000 gas ovens annually using 100% Egyptian labour and German engineering expertise. The facility adopts a new BSH production model focused on integrating the local workforce rather than relying heavily on automation—an approach designed to capitalise on Egypt's labour cost advantage while upholding Bosch's global quality standards. This project aligns with Egypt's broader industrial strategy and vision to become a regional hub for manufacturing and export. BSH also confirmed its intention to expand the facility in future phases, further increasing production capacity and employment opportunities. Prime Minister Madbouly toured the production lines and met with workers, reiterating the government's commitment to supporting industrial investment, strengthening local supply chains, increasing exports, and facilitating technology transfer. In his remarks, Luis Alvarez, Chairperson of BSH Egypt and Morocco, explained that the decision to establish BSH's first African factory in Egypt reflects a long-term strategic vision. He highlighted Egypt's potential as a gateway to continental and regional markets and noted that the country is now home to BSH's 40th production facility worldwide. BSH operates 39 factories across Europe, North America, and Asia and maintains a presence in more than 60 countries. The new Egyptian plant is now a critical link in this global network and will serve as a springboard into emerging markets across the Global South. Designed with strict sustainability standards, the factory combines advanced infrastructure with local talent. BSH plans to export 50% of its output to the Middle East, Africa, Australia, Canada, and Latin America. Ahmed Riad, Executive Board Member and CFO of BSH Home Appliances Egypt, noted that the factory's 90 cm cookers were developed specifically to match Egyptian consumer preferences. The current local component ratio stands at 50%, with plans to exceed 70% within two years. He also revealed that BSH is exploring the possibility of expanding its product line beyond ovens and cookers, further strengthening Egypt's position as a regional manufacturing hub. Following the Bosch factory inauguration, Prime Minister Madbouly also opened Jumia's largest logistics warehouse in Egypt—a major development for the country's e-commerce and digital logistics infrastructure. Spanning over 27,000 square metres and equipped with state-of-the-art technologies, the new facility is designed to accelerate delivery times, enhance storage efficiency, and support Jumia's growing operations, particularly in Upper Egypt. It is expected to create approximately 10,000 direct and indirect jobs. The warehouse supports Egypt's goal to become a regional digital hub, aligning with Vision 2030 and national efforts to expand digital services, boost youth employment, and support tech-driven development. Minister of Communications and Information Technology Amr Talaat highlighted that the software powering Jumia's platform was developed locally by Egyptian engineers. Jumia Egypt CEO Abdellatif Olama emphasised the strategic importance of Egypt within Jumia's regional operations. The country hosts one of the company's largest tech hubs in Africa and plays a pivotal role in exporting digital solutions across the continent. He reiterated Jumia's commitment to enhancing Egypt's role in Africa's digital transformation and to supporting local manufacturing and logistics ecosystems.
Daily News Egypt
an hour ago
- Daily News Egypt
Egypt mourns 19 girls killed in road crash amid growing outcry over highway safety
Egyptian President Abdel Fattah Al-Sisi has directed the government to provide immediate compensation of EGP 100,000 (approximately $2,100) for each of the 19 victims killed in a devastating road crash in Monufeya, and EGP 25,000 for each of the injured. The victims—mostly teenage girls and young women—were day labourers commuting to work in the Nile Delta. The president also instructed authorities to intensify road maintenance efforts across the country, particularly on the regional ring road, where the accident occurred. He called for the removal of roadway hazards, clearer signage in repair zones, and stricter enforcement of speed limits. The crash, which occurred early Friday, involved a speeding heavy truck that collided with a microbus carrying female workers from the village of Kafr El-Sanabsa. All 18 girls onboard and the microbus driver were killed, while three others sustained injuries. The victims, described in state media as 'martyrs of livelihood,' were en route to their jobs when the tragedy struck. The force of the collision destroyed both vehicles. Emergency responders quickly arrived at the scene, transferring bodies and survivors to hospitals in Quesna, El-Bagour, Ashmoun, and Shebin El-Kom. The incident has plunged Kafr El-Sanabsa into mourning. Mass funerals were held for the young women, some of whom were from the same family. Many had left school to support their households and were their families' main providers. Images of grieving relatives and rows of coffins spread across social media, prompting widespread sorrow and renewed anger over Egypt's persistent road safety challenges. Security sources confirmed that the truck driver was arrested. The public prosecution has launched a broad investigation, ordering forensic examinations and technical assessments of the vehicles and the road segment. Preliminary findings cited excessive speeding and poor road conditions—specifically the absence of lighting, barriers, and emergency services—as contributing factors. Despite the scale of the tragedy, the Ministry of Transport has yet to release an official statement. On the same day, Transport Minister Kamel Al-Wazir was in Istanbul attending the Global Transport Connectivity Forum, where he spoke of Egypt's 'unprecedented infrastructure renaissance' and highlighted over EGP 2trn in investments across roads, bridges, railways, ports, and electric transport systems. The ministry's silence drew criticism from the public and media observers, who cited a growing disconnect between government narratives of modernisation and on-the-ground realities. Residents of Kafr El-Sanabsa voiced frustration over the deteriorating state of the Regional Ring Road—a flagship project inaugurated in 2018 with a reported cost of EGP 9bn (around $190m). Originally designed to ease congestion on older highways and link Greater Cairo to Upper and Lower Egypt, the ring road has since fallen into disrepair in areas such as Monufeya. According to taxi drivers and former Roads and Bridges Authority engineers, large sections suffer from pavement cracks, ground subsidence, and neglected maintenance. The road, they say, has become a 'corridor of death.' According to Egypt's official statistics agency (CAPMAS), 5,260 people were killed in road accidents in 2024, with over 76,000 injuries—a 7.5% increase from the previous year. Daqahleya Governorate recorded the highest number of road injuries nationwide. As national grief grows, the Ashmoun crash has reignited debate over road safety, infrastructure oversight, and the lived cost of economic hardship for Egypt's working poor—particularly young women who bear the burden of supporting their families on dangerous commutes.
Daily News Egypt
an hour ago
- Daily News Egypt
MSMEDA disburses EGP 57.5bn in project funding over 11 years: CEO
Bassel Rahmy, CEO of the Micro, Small and Medium Enterprise Development Agency (MSMEDA), announced that the agency has disbursed a total of EGP 57.5bn in funding for micro, small, and medium enterprises from July 2014 to May 2025. This figure marks a substantial increase compared to pre-2014 levels and reflects the state's intensified support for the sector since President Abdel Fattah Al-Sisi took office. Rahmy noted that this funding has contributed to the creation of more than 3.4 million job opportunities for Egyptian men and women, underpinning the agency's role in promoting employment and entrepreneurship nationwide. He added that 47% of total funding was channelled to governorates in Upper Egypt, aligning with the region's development priorities and financial needs. The announcement coincided with the celebration of World Micro, Small and Medium-sized Enterprises Day, held annually on 27 June. Rahmy highlighted the state's strategic commitment to supporting the small enterprise sector through comprehensive care, funding mechanisms, and the creation of an enabling environment that fosters the establishment and growth of industrial and productive projects. Since President Al-Sisi's inauguration, Rahmy explained, the state has launched numerous initiatives aimed at supporting citizens and encouraging them to embrace entrepreneurship and self-employment as a path to economic empowerment. These efforts reflect a deep understanding by the political leadership of the sector's critical role in driving economic development and industrial advancement. He emphasised that all relevant government bodies have worked in coordination to enhance the investment climate for small businesses, thereby maximising their contribution to the national economy. These efforts are in line with the directives of Prime Minister Mostafa Madbouly, who also chairs MSMEDA's Board of Directors. Rahmy also pointed to landmark progress in 2025, including successful cooperation with the Ministry of Finance and the Egyptian Tax Authority to implement Law No. 6 of 2025. The law addresses longstanding tax challenges for small businesses and introduces several key facilitations—most notably a simplified tax regime starting with a rate of 0.4% of annual turnover for businesses generating up to EGP 500,000, scaling up to 1.5% for those with turnover between EGP 10m and EGP 20m. The law also offers exemptions from stamp duties and other taxes. He affirmed MSMEDA's active role in integrating the informal economy into the formal sector through structured plans to regularise and legalise informal enterprises. These efforts are aimed at ensuring long-term project sustainability, improving productivity, and enabling access to the benefits offered under Law No. 152 of 2020 on Enterprise Development. The agency provides documentation and licensing services to help businesses operate legally, paving the way for them to access incentives such as marketing support and eligibility for the government's 40% procurement allocation to small enterprises. In the area of capacity building, Rahmy noted that MSMEDA has provided entrepreneurship training to more than 83,000 individuals. This initiative seeks to foster a new generation of skilled and capable entrepreneurs across Egypt. To enhance product marketing and commercial exposure for its clients, MSMEDA has organised 1,441 exhibitions featuring 32,492 project owners. These events generated total sales and contract values exceeding EGP 2.1bn. Rahmy concluded by calling on young people to take initiative by visiting the agency's branches across governorates or accessing its website to learn more about its financial and technical services. These services, he said, can support aspiring entrepreneurs in launching or expanding businesses across a wide range of sectors. World MSME Day was officially designated by the United Nations on 27 June following a proposal submitted by Egypt in 2016 via the World Association for Small and Medium Enterprises. The day aims to celebrate and recognise MSMEs globally as a fundamental pillar of economic growth and stability.
