Faisal Abbas 
In the wake of the announcement of the Egyptian Ras Al -Hikma area, which was contracted with the UAE sovereign Abu Dhabi ADQ and contributed to saving the Egyptian economy at the time, the “The Economist” magazine published a report entitled “The Emirati sovereign wealth fund seeks to enhance external influence.” The ancient magazine said in its report that the sovereign wealth funds rarely occupy itself with foreign policy, as it seeks to achieve stable returns or diversify its origins, but it considered that the Abu Dhabi sovereign fund, which is one of the sovereign wealth funds in the United Arab Emirates, takes a different path.
The magazine said that the fund has assets under management at a value of $ 199 billion (at the time), which is equivalent to about the fifth GDP of the Emirates, and that it decided to follow a new approach. Although more than 80% of his capital is invested in local infrastructure and related companies such as “Etihad Airways” and “Abu Dhabi Ports”, this reflects the spending of years that followed the founding of the fund in 2018. The British magazine confirmed that the new ambition of the fund, expanding the influence of the Emirates abroad, a goal that the fund would be ready to spend large sums to achieve.
The Economist explained that the investments of “Etihad Airways” and “Abu Dhabi Ports”, in projects such as a shipping operator and a port in the Congo, made the Emirati fund one of the most active wealth funds in Africa. In 2023, the fund signed deals worth $ 11.5 billion with Türkiye, which included export financing and reconstruction after the earthquake; He was involved in discussions on the financing of a railway that passes through the Bosphorus Strait, in an effort to create a commercial path linking Asia, Europe and the Middle East.
The Egyptian economy in the circle of the attention of Emiratis
The magazine said that the largest deal of the fund was signed in February of last year, when the fund submitted $ 24 billion out of a rescue package of $ 35 billion to help the Egyptian economy and avoid failure to pay the obligations. However, the matter did not stop when providing financing to save the Egyptian economy only, as the fund’s money bought a tape from the northern coast of Egypt on the Mediterranean, to turn it into a tourist destination, a financial center and a free trade area.
Despite the presence of five large Emirati banks in the Egyptian market, they are the first Abu Dhabi, Al -Mashreq, Abu Dhabi Al -Islami, Abu Dhabi Commercial, and UAE National Dubai, the UAE does not seem to be a compiler with what it has, and still aspires to increase its share, which no other country possesses in the Egyptian banking market.
Immediately after the Egyptian Central Bank announced a reduction in the value of the pound by approximately 15% in March 2022, the sale of the Egyptian government announced its share in many Egyptian companies to the Abu Dhabi Sovereign Fund, in a deal valued at approximately two billion dollars, and the most important part of the deal was the sale of the Egyptian government’s share in the Commercial International Bank, the largest private bank in Egypt, and it represented about 18%, for the UAE Fund, and with a total value of about one billion dollars. The International Commercial Bank currently acquires more than a quarter of the value of the EGX30 index for the Egyptian Stock Exchange.
Several days ago, Egyptian media reported a news that the Emirates NBD is currently conducting a dedication to ignorance of Cairo Bank, after obtaining approval from the Central Bank of Egypt in preparation for the acquisition.
In the March 2022 deal, the Abu Dhabi Fund bought a stake in four Egyptian companies restricted to the stock exchange, including immediate (4.67% of the value of the EGX30 index), Abu Qir Fertilizer Company (3.87% of EGX30), Mobco (2.65% of EGX30) and Alexandria Containers Company (1.80% of EGX30). This is added to the lands, real estate, hospitals, laboratories, pharmaceutical and real estate development companies that have visited us by the media, news of Emirati companies, over the past three years. The UAE also has one of the four companies that provide mobile phone services (sound and data) in Egypt.
The frantic activity of penetration into the Egyptian economy and the acquisition of the important Egyptian assets reflects the conviction of the UAE by having an opportunity to enhance its influence in the largest Arab country in terms of population. The “Economist” says that “while Saudi Arabia is exalted inward to implement the” Vision 2030 “agenda aimed at reducing dependence on oil, the Kingdom’s share of rescue operations in the Middle East fell to 39% in the contract ending in 2022, decreasing from 65% during the previous four decades. And the UAE is an acceleration of spending, in order to win the premier of influence in Egypt.”
Analysts say that the investments of the Emirati Fund are usually seductive in particular for future countries because they are very similar to the investments of private stock companies, as major investors purchase non -liquid assets, trying to create added value by focusing on improving operations. In recent years, the UAE Fund to expand the real estate ports and empires sought instead of being satisfied with the negative reaches of assets.
Because of the UAE’s investment policy, there was customary to have a commercial agreement signed between Emirati investors and the future country for funds, such as the agreement that was signed with Kenya on April 24. It should be noted that the fund has joint projects with countries such as Azerbaijan, Jordan and Oman, all of which have signed such agreements. The fund also invests alongside the governments of Egypt and Turkey and their companies. It is no secret to anyone that such agreements increase the influence of the UAE in the future country for investments, as well as they often mortgage the sovereign decisions of Emirati interests and the interests of its real allies, who have recently appeared to the public.
I write this while Egypt is preparing to deliver the Bank of Cairo, or a small percentage of it, to the Emiratis, in the latest episodes of “Emerita”, the Egyptian economy. Will Egyptian officials realize the size of the risks they bear, or does the matter do not concern them?!
