Egypt plans to use Red Sea coast land to cut public debt
The Ministry of Finance will offer state land on the coast through long-term leases, joint ventures and debt-for-investment swaps.
Egypt's Ministry of Finance is turning prime state-owned land along the Red Sea coast into a source of revenue for reducing public debt. Under a new master plan for the region, the government will offer land under usufruct, a long-term lease, launch joint ventures with private developers and carry out debt-for-investment swaps rather than sell the land outright.
Proceeds from these deals will go directly toward paying down public debt and easing debt-service costs, the ministry said, freeing budget space for social protection, healthcare and education. Officials say major investment deals along the coast will be key to accelerating the fall in debt.
The push builds on a fiscal tightening campaign that has cut the debt-to-GDP ratio from 96 percent to 81.9 percent over three years. A primary budget surplus reached 4.9 percent of GDP in the 2025/2026 fiscal year.