The company did not cut down salaries since January Revolution
We are not laying off labours
By Mahmoud Hammad
In an exclusive interview with MEO, Hisham Zahran, General Manager of Kuwait & Arab States Co, asserted that Kuwaiti investors will not abandon their projects in Egypt because of the dollar crisis. Kuwaiti investors view Egypt as their main centre of investment. However, we have to stop asking them to provide the Egyptian market with foreign currencies, at least for the meantime, because the general state of the world’s markets is not optimistic. Furthermore, Zahran pointed out that the company has stopped importing cars since 2005 due to the dollar price increase, especially in the black market. The Egyptian market is sliding due to spectators and gamblers who are involved in illegal practices that boost the black market.
Can you tell me in brief about Kuwait & Arab States Co?
Kuwait & Arab States Co, a subsidiary to Sheikh Abdul Aziz Al-Motawa’s companies, was established in 1960 in Egypt. It trades in cars and delivers car services.
How does the dollar crisis influence the company?
The company was influenced negatively as we had to stop importing cars since 2015. The dollar price in unreasonably sharp and it should be traded at the same price of the banks.
Was the company forced to deal with the black market?
No, because buying dollars from the black market means the company would feed traders’ greed. Furthermore, the company’s financial situation is better off without buying dollars from the black market.
How do the company’s Kuwaiti owners view Egypt?
Well, they believe that Egypt has great investment potentials and wish that the Egyptian economic situation get better because if the economy falls down, all other Arab countries’ economies will suffer as well.
Have you asked them to provide the Egyptian market with more dollars?
No, we have not because the general state of the world’s markets is not very optimistic.
Do the company’s owners intend to increase their investments in Egypt?
They are closely watching the economic situation and in case it gets better, the company will invest in more projects. However, if the economic situation gets worse, the company will not increase its investments.
Have you faced any problems with your employees giving the current situation?
The company did not face any problems because we did not lay off employees or cut down their salaries since 25 January Revolution.
What do you think of the Egyptian market situation?
The Egyptian market is in a “miserable” state and the way traders deal will result in an economic fall. For instance, a certain commodity could be sold for EGP 2.5 but in fact it is for a totally different price. This means we do not have any laws for imports which allow some traders to import low-quality commodities to sell at the cheapest prices in order to profit. I believe that imports have to be limited but not cut off completely because Egypt is complied with international agreements with some countries and the UN.
What is the company’s trading situation?
The company’s car trade is reviving but slowly. Although, we are facing the challenge of the dollar price increase, the company is exerting efforts to obtain stability.
