Egyptian industrial giant to invest $2.5b in Algeria’s industry
At the Intra-African Trade Fair (IATF 2025) in Algiers, Elsewedy Electric, a leading Egyptian industrial conglomerate, signed a significant Memorandum of Understanding (MoU) with the Algerian Investment Promotion Agency (AAPI), as reported by AL24 News on September 9.
The MoU, signed by AAPI Director General Omar Rekkache and Elsewedy’s Algerian CEO Mostafa Awad Elhalwani, in the presence of Energy Minister Mohamed Arkab and Trade Minister Kamel Rezig, marks an intended $2.5 billion investment in Algeria’s industrial infrastructure.
This pledge will expand Elsewedy Electric’s Algerian operations fivefold, focusing on electrical manufacturing, renewable energy solutions, technology transfer, and the development of local industrial capacity. The deal underscores Algeria’s ambition to elevate industrial sovereignty and diversify its economy.
The move also highlights Algeria’s strategic push to reduce reliance on hydrocarbons through economic diversification, as it aims to triple non-hydrocarbon exports by 2030 and enhance investor incentives via the Algerian Investment Promotion Agency (AAPI) reforms and digital platforms.
This broader policy framework provides fertile ground for partnerships like Elsewedy Electric’s $2.5 billion pledge, as by focusing on the local manufacturing of cables and renewable energy components, the project dovetails neatly with Algeria’s stated objective of creating value-added industries that can compete in regional and international markets. It also supports the government’s ambition to nurture export-oriented clusters, shifting Algeria’s trade balance away from hydrocarbons and embedding the country more deeply into intra-African supply chains.
Algeria’s economic strategy coincides with reports emphasizing the rising momentum behind green industrialization in Africa, with a recent feature emphasizing the continent’s potential for sustainable manufacturing, renewables, and technology-driven transformation.
Such initiatives also strengthen Algeria’s position as a bridge between North and Sub-Saharan Africa, showcasing how regional cooperation and targeted investment can accelerate inclusive industrial growth, create new regional value chains, spur technological innovation, support long-term sustainability, and deliver shared prosperity across the continent.
AL24 News, Ecofin Agency, Maghrebi.org
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