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NEW OPPORTUNITIES FOR EFFECTIVE INTERNATIONAL
COOPERATION BETWEEN UZBEKISTAN AND EGYPT
Makhliyo Khujamkulova
Master’s degree of Diplomatic
Academy at UWED
Abstract:
In this article, we can take information about new
opportunities for effective international cooperation between Uzbekistan and
Egypt.
Key words:
Egypt, mutual relations, Economic Partnerships,
tourism, Egyptian-Uzbek Business Council
Egypt is one of the ancient centers of human civilization, and today it
is a country with great potential and special position in the Islamic world,
among Arab countries and on the African continent. On December 26, 1991,
Egypt was one of the first Arab countries to recognize the Independence of
Uzbekistan. Over the past period, our countries have consistently developed
effective cooperation based on the principles consideration and respect for
each other’s interests. This is based on the historical and spiritual closeness
of the peoples of the two countries, as well as the solid contractual-legal basis
of mutual relations consisting of about 60 documents.
The high-level talks between the President of Uzbekistan, Shavkat
Mirziyoyev, and the President of Egypt, Abdul fattoh As Sisi, held in Tashkent
on September 4- 5,2018, were of historical importance and raised the quality
of mutual relations to a new level. Sincere and reliable political dialogue has
been established between the leaders of the two countries and it is
consistently supported within the framework of various forms of events. In
particular, they met during the Opening Ceremony of the Winter Olympics in
Beijing last February. In recent years, the cooperation between parliaments,
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ministries and agencies of our countries, and representatives of business
circles has become significantly more active. In particular, friendship groups
are operating in the parliaments of Uzbekistan and Egypt and a mechanism
of regular political consultations between the ministries of foreign affairs has
been created.
The Uzbekistan - Egypt joint commission and Uzbekistan - Egypt
businessmen’s council are making efforts to promote the development of
economic relations. At the same time, Uzbekistan and Egypt have
established effective relations within international structures such as UN, the
Organization of Islamic Cooperation, the League of Arab States, and the
Shanghai Cooperation Organization, and they mutually support each other’s
initiatives. The positions and approaches of the countries on many
international issues are similar and close.
The bilateral relations between Uzbekistan and Egypt offer promising
avenues for effective international cooperation. Both countries can benefit
from enhanced political, economic, and cultural ties. Here are some potential
new opportunities for collaboration:
1. Economic Partnerships: Uzbekistan and Egypt can explore
partnerships in various sectors such as agriculture, textiles, tourism, and
energy. By promoting trade and investment, both countries can capitalize on
their unique resources and expertise, leading to mutual economic growth.[2]
Infrastructure Development:
Uzbekistan's expertise in
construction and Egypt's strategic location in the region present opportunities
for joint infrastructure projects. Collaboration in areas like transportation
networks, logistics hubs, and energy infrastructure can enhance connectivity
and facilitate regional trade.[3] Cultural Exchanges: Promoting cultural
exchanges between Uzbekistan and Egypt can strengthen people-to-people
contacts and foster mutual understanding. Initiatives such as student
exchanges, cultural festivals, and language programs can nurture long-
lasting relationships and promote cultural diversity.[4] Tourism Cooperation:
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With their rich historical and cultural heritage, Uzbekistan and Egypt can
attract tourists from around the world. Collaborative efforts to promote each
other's attractions, develop joint tour packages, and facilitate travel
arrangements can boost tourism, generating economic benefits for both
nations.[5] Knowledge Sharing: Facilitating educational exchanges, research
collaborations, and technology transfers can contribute to knowledge sharing
between Uzbekistan and Egypt. This can involve partnerships between
universities, research institutions, and industry experts, leading to
advancements in various fields.[6] Security and Counterterrorism: Uzbekistan
and Egypt can work together to enhance security cooperation, including
intelligence-sharing and joint counterterrorism efforts. By sharing
experiences, expertise, and best practices, both countries can strengthen
their ability to combat common security challenges.
By seizing these new opportunities, Uzbekistan and Egypt can forge
stronger bonds and advance their shared goals of economic development,
regional stability, and cultural enrichment. It is essential to maintain open lines
of communication, foster mutual trust, and explore collaborative initiatives
that bring tangible benefits for both nations and their people.
A signing ceremony following the outcomes of the Uzbek-Egyptian top
level talks was held as a part of the visit of the President of the Republic of
Uzbekistan Shavkat Mirziyoyev to the Arab Republic of Egypt. The presidents
adopted a Joint Declaration aimed at expanding cooperation in political, trade
and economic, investment, cultural and educational spheres. A range of
bilateral documents has also been signed in the presence of the presidents.
These documents are aimed to develop the cooperation between the
Ministries of Foreign Affairs, as well as the Ministry of Investment, Industry
and Trade of Uzbekistan and the General Directorate of Investment of Egypt,
cooperation in plant quarantine and plant protection, public health,
investment promotion and strengthening bilateral investment relations,
technical regulation as well as exchange of experience in development
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issues. Memorandums of Understanding were also signed between the
Centre for Islamic Civilization of Uzbekistan, the Abu Rayhan Biruni Institute
of Oriental Studies of Uzbekistan and the National Library and Archives of
Egypt. The countries established the Egyptian-Uzbek Business Council to
facilitate communication and collaboration between business communities in
both nations. Uzbekistan has also been taking steps to encourage foreign
investment, including by implementing new investment laws and regulations,
and promoting its natural resources and tourism potential. On February 21
st
,
2023, in Cairo, Uzbek President ShavkatMirziyoyev met again with the
Egyptian President Abdel Fattah El-Sisi
.
The parties asked about exchanging
experience in countering security threats, fighting corruption, mutual support
for international initiatives in Afghanistan, and also identified five promising
areas of cooperation in the economy: gas chemical, textile, electrical,
jewellery, and pharmaceutical industries.
During the official visits, Egyptian companies declared their will to
implement several projects in Uzbekistan such as the construction of power
plants, a data centre, an industrial zone, full-cycle sugar production. During
the same day it was organized the Uzbek-Egyptian business forum
,
which
was attended by about 200 representatives of companies from both
countries, including Egyptian companies such as Orascom construction,
Kandil Steel Group, Metco, ZAS, Giza Cable Industries, Shoura Chemicals,
PolyeePlast, Solarsol, EG, and others. As part of the event, the parties signed
investment agreements and trade contracts worth $1.6 billion
,
including those
providing for the creation of Uzbek textile enterprises in Port Said for
subsequent export to Africa and the Middle East. Uzbekistan and Egypt have
also in common a scientific and educational heritage
.
For instance, Ahmad
Ferghani, also known in the West as Alfraganus, was
originally from the Fergana Valley, but he moved to Egypt to continue his
work as an astronomer during the Abbasid Caliphate.
Uzbekistan’s economy is largely based on the cotton and gas
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industries, and the country is one of the largest cotton producers in the world.
However, the Uzbek government has been working to diversify the economy
by developing the tourism industry and investing in infrastructure projects
.
The country faces challenge such as the lack of a skilled workforce and
cumbersome bureaucracy. Egypt’s economy is the third largest in Africa and
is heavily reliant on the oil and gas sector
.
However, the government has
been focused on developing other sectors, such as tourism, agriculture, and
information technology. The country has a sizable workforce, and the
government has been making efforts to improve the business environment.
The country’s bureaucracy and frequent changes in regulations can be
challenging for investors. The Centre for Economic Research estimates that
trade between Uzbekistan and Egypt has more than tripled over the past five
years, from about $10 million in 2017 to $30.5 million in 2022
.
Export of
Uzbekistan to Egypt increased 16 times. Egypt imports cotton, textiles, and
agricultural products from Uzbekistan, while Uzbekistan imports petroleum
products, fertilisers, and other industrial goods from Egypt. Uzbekistan offers
investment opportunities in the agriculture, tourism, and infrastructure
development sectors, among others. Meanwhile, Egypt is attractive for
investors interested in manufacturing, energy, and real estate. There are 29
joint ventures with Egyptian capital in Uzbekistan
.
Together with the Egyptian
company Solyphar, work is underway to implement a project for the
construction of a pharmaceutical production facility in the Free Economic
Zone (FEZ) Bustonlik-pharm in the Tashkent region (the project cost is about
$20 million). The Egyptian company One World Pharma has been working
on organising the production of drugs against hepatitis C in the Kashkadarya
region ($1.4 million). Negotiations were held with Kapo Agri to establish
fisheries in the Namangan region ($1 million).
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and
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