Gov’t prepares investment fund targeting USD 100 mn for Egyptians abroad

The government is preparing to launch a USD-denominated investment fund for Egyptians abroad next year, looking to channel record-breaking remittance inflows into a wider menu of investable assets, according to a ministry statement. The fund was announced during the seventh Egyptians Abroad Conference, where the government rolled out a wider package of financial, digital, consular, healthcare, and payment services for the diaspora.

The details: The vehicle is slated to launch as the Memphis Fund, targeting up to USD 100 mn within a year of its rollout, and will be managed by NI Capital Asset Management, a subsidiary of state-owned National Investment Bank, according to Asset Management Sector CEO at NI Capital Mohamed El Sherbini. The fund will invest exclusively in Egyptian sovereign debt instruments, with both subscriptions and redemptions strictly restricted to capital transferred from outside Egypt.

IN CONTEXT- The Finance Ministry said last year that it was preparing fixed-income and liquidity funds targeting Egyptians abroad. The new portfolio-debt vehicle is separate from the Egyptians Abroad Investment Company, a planned USD 1 bn direct-investment vehicle announced in early 2024. While the direct-investment company is designed to establish physical, real-economy projects in agriculture, trade, and manufacturing, the Memphis Fund offers a pure fixed-income option. This multi-track approach comes as remittances continue to serve as an important balance-of-payments anchor, hitting a record USD 43.1 bn in the first 11 months of FY 2025/26.

ALSO- The government is studying a new car initiative for Egyptians abroad that would offer locally manufactured vehicles at competitive prices, a government official tells EnterpriseAM. The proposed scheme is being designed under the state’s auto-localization strategy and aims to make locally-made cars attractive to Egyptians abroad compared with similar vehicles overseas, the official says.

That would mark a shift from the expat car import scheme from 2022, which allowed Egyptians abroad to import vehicles tax- and customs-free in exchange for a refundable FX deposit. The government reopened the program after the first round underperformed. The new proposal would instead try to redirect expat demand toward locally produced vehicles to support the local auto industry. No timeline, eligibility criteria, participating automakers, or pricing mechanism have been disclosed.

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