More assets to join the privatization list? The Madbouly government is working on its inventory of state-owned unused assets and idle factories ahead of offering them to investors under an usufruct system, a government source told EnterpriseAM. The inventory will cover assets owned by all government entities and will coincide with the launch of the updated privatization program.

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The details: Authorities are currently working to catalog all idle or loss-making assets in preparation for including them in the expanded privatization program, offering them as investment opportunities under usufruct or profit-sharing arrangements. Through these investments, the state aims to help loss-making state-owned firms improve their financial standing.

What expanded privatization program? The Madbouly government plans to expand its privatization program to include 50 state-owned companies spanning 14 economic sectors up from 35 currently in focus, sources told us last month. The new plan will also favor selling smaller minority stakes on the EGX over one-off strategic sales.

According to initial estimates, the state owned around 2 mn sqm of undeveloped land, in addition to unused warehouses and idle factories, our source said.

Part of wider efforts to reel in investors: The state is working on a comprehensive investment map, especially for high-demand areas across Cairo.

IN CONTEXT- The government is mulling revising the state ownership policy to prioritize private sector investments in state-owned companies over asset sales.

Many state-owned firms turn a profit though, data shows: The state owns 75% or more of 257 companies, 50-75% of 41 companies, and around 25% of 69 companies. Of these firms 364 are profitable, 78 are loss-makers, and 14 have broken even, while 105 companies are still finalizing their financial statements.

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