Coffee with: CIT Minister Amr Talaat: EnterpriseAM sat down with Dr. Amr Talaat (LinkedIn), the country’s CIT minister. With Egypt’s telecommunications sector successfully attracting the attention of major global companies to launch and expand operations in Egypt, we decided to sit down with Talaat to discuss the strategy that has reshaped the sector, ongoing plans to develop internet and mobile network infrastructure, expansion of submarine cable capacities, and the future of the outsourcing industry. Below are edited excerpts from part one of our conversation:

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EnterpriseAM: What is the current strategy for the telecommunications sector?

Amr Talaat: The vision has been clear from the start — it is no longer acceptable for the ICT sector to remain purely service-oriented. The sector has reached a level of maturity that enables it to be both service- and production-oriented, providing a wide range of services while also offering broad potential for investments and growth to support employment and contribute to the economy.

The strategy revolves around three main pillars:

  • Digital transformation to serve citizens and provide services in a fully digitized manner;
  • Supporting competitiveness in the labor market across all specializations, alongside technological development, while ensuring inclusivity of services for all citizens without exception;
  • And fostering innovation, entrepreneurial thinking, and startups, which also includes a training component.

EnterpriseAM: Comprehensive digital transformation requires a strong infrastructure. How did we achieve that?

AT: Indeed, the state has spent about USD 6 bn to build a robust infrastructure, covering both fixed internet and mobile networks, and to develop the Egyptian postal system to align with the significant growth in e-commerce.

The second aspect of infrastructure concerns legislation and governance frameworks for the digital world we live in. For example, we issued regulations for promotional calls.

EnterpriseAM: Internet in Egypt has moved from being ranked 40th in Africa to a leading position. How did we do this?

AT: In 2018, when we checked Egypt’s ranking for fixed internet speeds, we were not even in the top 50 African countries. We began a plan to reach 40 Mbps by 2020, up from 6.5 Mbps, aiming to take the first position in Africa — and we succeeded. Today, internet speed in Egypt has reached 90 Mbps.

EnterpriseAM: Covid-19 was seen as a real test for the speed and quality of the internet in Egypt. Is that correct?

AT: If we hadn’t already upgraded the network in 2019, we would have faced a complete collapse due to the increased load during Covid-19. This test was a turning point in attracting companies to outsourcing centers in Egypt, because, compared to other countries, the digital infrastructure absorbed the load from work-from-home arrangements, ensuring companies could continue fulfilling their obligations to clients abroad. This is what led to expansions and attracted new companies.

EnterpriseAM: But maintaining quality comes at a cost. Will we see adjustments in internet and mobile service prices in the near future to reflect rising operational costs?

AT: The constant challenge is always balancing investment with citizens’ ability to afford services. Therefore, companies’ requests are currently being reviewed by the National Telecom Regulatory Authority (NTRA) to make the optimal decision after an in-depth study of the real cost.

EnterpriseAM: Talking about internet speed and international internet services brings us to the topic of the enormous network of subsea cables. What can you tell us about that?

AT: This is an extremely important point. Egypt had 13 subsea cables in 2018, and today it has 21 cables. Our policy is multiplicity and continuity by increasing the number of landing stations on the Red Sea coast, along with a terrestrial network extending to another landing station on the Mediterranean coast.

We had six stations and now we have 11 stations, representing routes that extend up to 2.7k km inside the country to link both coasts. We have also added a parallel network of 2.6k km, which has doubled the local network, creating multiple routes that prevent service outages in case of construction works or urban expansions.

We’ve also built the world’s shortest East-West digital route, parallel to the Suez Canal, making Egypt a global digital corridor — like a maritime route for data.

EnterpriseAM: Do you have plans to expand the cable network?

AT: We are continuously studying joining new consortia to establish subsea cables. We join alliances to reduce costs, enhance international marketing, and expand coverage by ensuring the cable’s presence in many countries.

EnterpriseAM: What are your targets for internet speed in the near future?

AT: Internet speed in Egypt is constantly increasing. What matters most is ensuring service stability and consistency, and continuously improving customer satisfaction at a time when reliance on the internet has grown across all aspects of life. The most important pillar, in my view, is expanding the coverage of internet services.

EnterpriseAM: What is the current internet coverage rate in Egypt?

AT: We have currently reached an internet coverage of 74%, including both fixed and mobile internet. We are working to increase this in the near future through two extremely important projects — one aimed at replacing copper cables with fiber optics and another involving aerial cables. This last one is currently under study as part of a pilot project in the Mariouteya area in Giza, with the possibility of using these aerial cables in some areas with tightly clustered buildings.

EnterpriseAM: Are you about to offer new frequency bands to telecom companies to expand their services to customers?

AT: We are currently in discussions with the companies and are ready to offer any frequency bundles they need, depending on the required capacities and spectrum ranges. We already have available frequencies, and NTRA is currently holding technical discussions with the companies to make a decision.

EnterpriseAM: With the rollout of 5G licenses, will companies need to expand their coverage?

AT: 5G is an extremely important technology, and its true value appears more in industrial applications than in personal use. Therefore, the plan is to integrate 5G technologies with the Internet of Things and AI. This integration boosts industrial capabilities in ports, industrial zones, and hospitals to operate medical equipment. For this reason, we continue to expand the service, and mobile technology is advancing rapidly, which will further support the expansion of 5G services.

EnterpriseAM: What is the expansion plan for Egypt’s digital services?

AT: We provide more than 200 digital government services that enable citizens to complete government transactions anytime and from anywhere, without the need to visit government offices. The number of registered users on the platform exceeds 10 mn people.

Last week, we launched the My Digital ID application in cooperation with the Interior Ministry. It allows for verifying the identity and eligibility of the service requester to issue powers of attorney remotely, as well as using the one-time electronic digital signature service.

We also launched additional services for Egyptians abroad, where certificates can be issued through the Digital Egypt platform. The certificates are delivered and authenticated to the country in which the Egyptian citizen resides. This is done by leveraging the capabilities of Egypt Post to transfer documents from the Interior Minister to the Foreign Affairs Ministry, and then to the consulate. These services represent a qualitative leap in digital services.

The CIT Ministry is working according to a long-term vision based on clear pillars — digitization, human development, and innovation, supported by major expansions in infrastructure. Today, Egypt appears to be in a unique position that enables it to become a global hub for outsourcing and technological industries, benefiting from exceptional human capabilities and expanding digital networks.

** Want more? Part two of our conversation with Talaat will be published in tomorrow’s issue of EnterpriseAM — stay tuned.

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