Egypt does not lack for wind or sun. With aspirations of becoming a regional power exporting hub, there are significant opportunities for investment in Egypt's renewables sector, particularly as the Egyptian Government looks to boost its climate credentials as the host of COP27 in November 2022.

Located at the strategic nexus of Europe, Africa and Asia, Egypt's infrastructure and geography give it the edge in becoming an energy gateway for three continents. Its proximity to the Suez Canal – where 12 per cent of global trade passes annually – is a major attraction, while other projects, such as the interconnector electricity cable running between Egypt and Greece, are evidence of its ability to support large scale energy needs. And the demand for electricity from Egypt is likely to grow as Europe seeks to diversify its power imports away from Russia.

Despite the COVID-19 pandemic, Egypt's economy grew by 3.3 per cent over 2020-21. Riding on its successful implementation of IMF-backed structural economic reforms, Egypt is in a strong position to incentivise foreign investment into its renewables sector.

The Egyptian Government has already signed several agreements with foreign companies looking to establish renewable energy projects involving solar, wind and green hydrogen within the Suez Canal Special Economic Zone. The Suez Canal Special Economic Zone represents a key step forward for investment into Egypt, providing a ‘one stop shop' for foreign investors and a single point of contact to ease the process of navigating Egypt's regulatory environment.

Australian companies in Egypt include Centamin Mining, Capital Drilling, Allied Gold, Samex, Gourmet Egypt and Worley. Papyrus, an Australian-Egyptian company converting banana waste into sustainable food packaging at its factory in Upper Egypt, exemplifies the complementarity of Australia's innovative tech sector and Egypt's growing investment into new sustainable technologies.

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• Australian Embassy in Cairo
• Austrade - Egypt market profile