How Do Economic Projects Enhance Turkish-Egyptian Rapprochement?
Economic projects are enhancing Turkish-Egyptian rapprochement. The prospects of Egyptian-Turkish cooperation have become fruitful with the strengthening of relations between the two countries since last year. Both countries are now preparing for a new economic outlook, aiming to break down the barriers that lasted for nearly eight years following Turkey’s support for the Muslim Brotherhood in 2013.
The decision to restore diplomatic relations between Egypt and Turkey has opened up new horizons for enhancing trade relations between the two nations and increasing trade exchange rates in the coming years.
The economic aspect is a major driver of Turkish reconciliation, especially in light of the regional and international developments, along with the significant changes in the global economy due to the challenges posed by the COVID-19 pandemic and subsequent events like the war in Ukraine.
Turkish Industrial Zone in Egypt
Egypt and Turkey have initiated official economic talks, with the trade and industry ministers of both countries discussing the possibility of establishing a Turkish industrial zone in Egypt. This step is seen as a crucial move towards comprehensive cooperation. The ministers discussed this during a meeting in the Turkish capital, Ankara, exploring ways to enhance joint industrial cooperation, particularly in sectors where both Egypt and Turkey possess qualified expertise and resources to achieve a significant boost in industrial collaboration.
The meeting also addressed the exchange of experiences and technologies in certain industries that Egypt aims to localize, such as automobile manufacturing and the food industry.
Industrial Sectors on the Negotiation Table
The two sides explored the possibility of establishing a joint plan until June 2024, identifying priority opportunities and sectors for mutual cooperation, especially in furniture, carpeting, and chemical industries. Additionally, they discussed the potential for joint ventures with the Turkish side in various fields.
This meeting comes as trade volume between Egypt and Turkey increased to $7.7 billion in 2022, up by 14% from $6.7 billion in 2021, according to official data released by the Central Agency for Public Mobilization and Statistics in Egypt.
Turkey also ranks as the top importing country from Egypt in 2022, and eighth as the largest exporting country to Egypt.
