Mubarak addresses privatization projects, investment and future changes
Egyptian President Hosni Mubarak Wednesday held an open dialogue with university students in which he answered their questions on all issues at the internal and foreign levels.
Minister of Information Safwat el-Sherif said President Mubarak replied to a question on privatization and the progress made by Egyptian economy and reports that there is an intention to privatize the Suez Canal, some banks, Egypt Air and other utilities.
President Mubarak said that reports about the privatization of the Suez Canal are only rumors. The Suez Canal is a waterway which is being developed to serve world navigation and international trade. "Egypt collects dues on the passage of ships through the Suez Canal," the president said. "We have liberated the canal. We shall not sell it or forego it once again," the president said.
As regards reports on the privatization of some banks, Mubarak said that what is taking place is to offer the share of public funds participating in some investment banks in which the four Egyptian public banks participated. The trend in the future "and not now" is to offer part of these banks in the form of shares to citizens to increase capital and realize participation and not sale, the president said.
As regards railways, Mubarak said that privatization is not being considered. Railways do a big service in bolstering the transport of citizens and goods at suitable prices. The state provides subsidy to this utility. The private sector cannot sustain its losses. If there are problems Egypt is striving to develop this utility. President Mubarak stated that there are establishments which are related to serving the working classes and people of limited income. "We shall continue to give subsidy to these establishments and utilities as much as we can," he said. The state continues to give subsidy in order to serve the broad section of the people.
On new changes to coincide with the new presidential term of President Mubarak and features of these changes, President Mubarak said there must certainly be changes, as this is the way of life. The changes and their features are being considered and are under study now.
On the position of investment projects, their future and their role in solving the problem of unemployment and providing new job opportunities for young people, he said that all development projects launched on the land of Egypt are for them, whether in the infrastructure or other giant projects.
The president referred to the projects of the east branch, the Gulf of Suez, the national project in Sinai, the Toshka project, iron projects in Aswan and other major projects which are launched on the land of Egypt in order to draw up a new map for future generations. He added that all that is spent on the infrastructure is borne by the state. But the private sector launches and contributes in implementing major industrial and agricultural projects. President Mubarak said that it was important that investment projects be launched by investors who are able to set up industrial projects with high costs. At the same time, they provide job opportunities for young people. In addition, major projects create new communities which include different services in continued links which provide job opportunities in projects in their area and also outside it.
The Toshka project is an agricultural project. It begins first with an investor who is able to set up a costly internal infrastructure and begins with a project for which he provides big potentials, equipment, storage spaces and others and uses suitable technology. This is difficult for young people to realize on their own, he said.
President Mubarak said that carrying out the project means that the community should be at Toshka. The project is ready to receive young people who are willing to live near major projects. Potentials and equipment are provided to make people work and live near their project after its production is marketed. Then there will be an opportunity for young people to own and work in these areas.
Young people need, at the beginning, a big investor who is able to provide an opportunity for them in order to create a community which grows. "The opportunities for young people are coming at the suitable time in order to ensure success," Mubarak said.