Iraq’s Ministry of Health is in discussions with Egyptian construction companies to participate in the implementation and rehabilitation of 12 hospitals across Iraq, with a total investment of $480 million, according to sources cited by “Asharq.”
Egyptian construction firms are expanding their operations beyond Egypt, targeting countries with significant reconstruction and development investments, such as Iraq and Libya.
This move comes as Egypt’s government slows down infrastructure and construction investments to make room for the private sector amid uncertainty over the future exchange rate of the Egyptian pound.
In late January, the Egyptian Cabinet approved a 15% reduction in investment spending for the fiscal year 2023-2024, with several exceptions.
These include entities where over 50% of the budget has already been allocated. The cabinet also banned any new project contracts, whether through direct orders or public tenders, until the end of the current fiscal year.
A source familiar with the talks revealed that an Iraqi Health Ministry delegation, comprising eight officials, is currently in Egypt. They are discussing the qualification of Egyptian construction companies, including “Arab Contractors” and “Concrete Plus,” to submit technical and financial proposals for several hospital projects.
Iraq requires $88.2 billion to execute reconstruction projects across the country, which has suffered extensive damage during the war against ISIS, according to previous statements by the Iraqi Ministry of Planning.
Tarek Youssef, CEO of Egypt’s Concrete Plus, stated that the company is in the process of establishing a subsidiary in Iraq to participate in the Iraqi construction market.
He also revealed to “Asharq” that the company has submitted a technical proposal to the Iraqi government for hospital construction projects.
Expanding into foreign markets has become a strategic goal for the Egyptian government-owned Arab Contractors, aiming to diversify foreign currency sources.
A company official mentioned in March that Arab Contractors is working to increase its various projects in the Middle East and Africa and to open new markets.
