Algeria–Egypt Economic Partnership: A Bold Advance Toward Full Integration
✍️ BY: Dr. Hana Saada
Algiers – November 2025 – Under the auspices of Algeria’s Prime Minister Sifi Ghrieb and his Egyptian counterpart Mostafa Madbouli, the ninth session of the Grand Algero-Egyptian Joint Commission convened in Cairo on Wednesday, marking a decisive turn in bilateral relations and signalling a renewed drive toward substantive economic integration. Far from being a routine diplomatic gathering, this session — framed by regular presidential exchanges between Abdelmadjid Tebboune and Abdel Fattah Al Sisi and by their October 25–26 meeting in Cairo — set out an ambitious agenda: to convert historic political solidarity into tangible, high-level economic interdependence for the direct benefit of both peoples.
Opening the talks, Prime Minister Ghrieb underscored a shared determination to elevate bilateral cooperation to a level commensurate with the countries’ entwined histories of struggle and mutual support. He described the leaders’ resolve as having laid “durable foundations” for what he characterised as an emerging strategic axis between Algiers and Cairo. The language was deliberate and unambiguous: the objective is not merely partnership by convenience, but a systematic deepening of economic integration and interdependence that will reshape commercial and industrial ties across the Maghreb and North Africa.
Ghrieb pointed to concrete accomplishments as evidence that the partnership is already moving beyond rhetoric. Joint mega-projects in energy and petrochemicals stand out among these achievements: the nitrogen fertiliser complex in Oran, the electrical cable developments in Aïn Defla, and the strengthening of Algeria’s pharmaceutical industry in Algiers. He was careful to stress that these headline items are part of a broader portfolio of collaborative ventures spanning construction, public works, services and agriculture — sectors where Algerian-Egyptian corporate alliances are beginning to compete on international markets and where Algerian exports manufactured or assembled in partnership with Egyptian firms are gaining traction abroad.
The Prime Minister highlighted a milestone agreement between Sonatrach and Petrojet to establish a joint venture for manufacturing equipment for the gas and oil sector and to jointly develop the Hassi Bir Rekaiz field — a practical demonstration of mutual industrial confidence and long-term strategic planning. Such agreements signal a qualitative shift: neither party is merely selling goods or contracting work, but rather co-building industrial capacity and shared value chains that bind both economies more closely together.
Statistical evidence gives weight to this narrative. Bilateral trade expanded by some 20 percent in 2024, reaching approximately one billion US dollars, up from 872 million the previous year. These figures are not merely transactional; they reflect growing complementarities and a capacity for co-investment that extends well beyond traditional trade flows. Egyptian firms now have a demonstrable appetite to invest across Algerian development priorities — energy, power plants, hydraulic works, tunnels, roads, bridges and housing — bringing technical expertise, financing capacity and experienced labour to major infrastructure programmes.
Prime Minister Madbouli, for his part, framed the relationship in reciprocal terms: “the strength of Egypt lies in that of Algeria, and the strength of Algeria lies in that of Egypt.” His remarks emphasised the mutuality of gains to be secured through expanded trade and joint investment, and praised Algeria’s advocacy for Arab and African causes during its tenure on the Security Council as an additional layer of political convergence. These political affinities, he suggested, create an enabling environment for deeper economic integration.
Yet the asymmetries in investment flows are instructive and cautionary. Algeria ranks forty-ninth among foreign investors in Egypt with recorded investments totalling $54.4 million across 112 companies through June 2024. By contrast, Egyptian investments in Algeria since 2001 amount to $5.07 billion across 62 projects employing more than 7,000 Egyptian workers — a concentration in construction, energy and infrastructure that underlines Cairo’s long-standing commercial footprint in Algiers. These figures should neither be overstated nor dismissed; instead, they call for calibrated policies to balance investment reciprocity and to optimise shared industrial benefits.
The convocation of the ninth session, Ghrieb reminded delegates, “aligns with the directives set by the heads of state during President Tebboune’s visit to Egypt in October 2024.” That alignment, coupled with what both premiers described as a convergence of priorities and vision, augurs well for the progressive deepening of institutional and economic links. Yet rhetoric and numbers must now be translated into rigorous implementation: the credibility and efficacy of commitments hinge on timely negotiation, transparent monitoring and rapid operationalisation of signed accords.
If this ninth commission is to be remembered as more than a ceremonial reaffirmation, it must catalyse the practical instruments of integration: harmonised regulatory frameworks, preferential procurement regimes for joint ventures, co-financing mechanisms to de-risk large infrastructural projects, skills and technology transfer programmes, and clear timetables for the operational phases of flagship ventures. The strategic ambition articulated in Cairo should be matched by administrative clarity and political follow-through.
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