26/11/1998
Al-Alam Alyom Newspaper 1998/NOVEMBER /26
Investors and economists were surprised to find that investments in Israel outnumbered those in Egypt. Egypt dealing with a supply and demand factor in the open market is one factor affecting this. The market is unstable with smuggling and import defects. Once international forums recognize the improvement that the economy has made Egypt should exceed the current figures of Israel.(Available in Arabic – German in PDF )
The World Bank report unveiled figures regarding foreign investments in the Middle East. It was a surprise to investors and economists to find that investments in Israel outnumbered those in Egypt. Why did Egypt not get the lion’s share of these investments? International investment funds were only providing an estimated 2% of their investments for the Middle East and after the East Asia events the value of these funds decreased by 40%. Egypt deals with a supply and demand factor in the open market while Israel depends on the US market, Jewish assistance and high-tech investments. Jewish blocs outside of Israel benefit from the free market agreement between Israel and the US giving Israeli products custom-free access to US markets. Egypt’s market is unstable with smuggling and import defects. The cost of investment is lower in Israel compared to that of Egypt in prices of machinery and equipment. Once international forums recognize the improvement in the Egyptian economy, Egypt should exceed the current figures of Israel.