Egypt, Djibouti Sign Deals on Renewable Energy, Maritime and Logistics

Egypt and Djibouti have signed three cooperation agreements spanning  renewable energy, maritime transport and ogistics and as the two countries look to strengthen economic and trade ties, according to an official cabinet statement.

The agreements were signed during an official visit by Egypt’s Deputy Prime Minister and Minister of Industry and Transport, Kamel El-Wazir, to the Djibouti Ports and Free Zones Authority (DPFZA).

One of the agreements includes a framework deal to develop a multipurpose container terminal through an Egyptian consortium led by the Holding Company for Maritime and Land Transport, in partnership with Djibouti’s state-owned Great Horn Investment Holding. The project is aimed at supporting bilateral trade and enhancing Djibouti’s position as a regional logistics hub.

Economic cooperation between the two countries has expanded in recent months, including the opening of a Banque Misr branch in Djibouti and the launch of the Egyptian-Djiboutian Joint Business Council in April 2025. The council focuses on energy security, port and free zone development, and the creation of a 150,000-square-metre logistics hub for Egyptian companies.

During the visit, El-Wazir inaugurated a 300 KW solar power station with battery storage capacity of 1.29 MWh in the Omar Kajaa area of Djibouti’s Arta region. The project is intended to provide sustainable electricity to local communities and support economic activity.

El-Wazir also held meetings with Egyptian and Djiboutian officials and companies to discuss further cooperation in infrastructure, renewable energy, road construction and port development. Planned initiatives include development works on Djibouti’s National Highway (RN18), feasibility studies for a wind power project in the Djibouti International Freezone, and expansion of the Port of Djibouti.

Separately, a long-term land lease agreement was signed between El Sewedy Electric, its joint venture El Sewedy Logistics Djibouti, the DPFZA and the Khor Ambado Free Zone Company. The agreement will support the establishment of a regional logistics hub to facilitate trade and improve market access for Egyptian companies.

The third agreement focuses on the development of a 100-megawatt solar project at the Doraleh Container Terminal, operated by state-owned Société de Gestion du Terminal à conteneurs de Doraleh. The project is expected to supply renewable electricity to port cranes and heavy equipment, reducing reliance on conventional fuels.

Egypt is pursuing a gradual transition towards a green economy, with EGP 637 billion (USD 12.9 billion) allocated to green projects under its FY2025/2026 public investment plan, accounting for 55 percent of total public investments.