Brothers and Sisters,

    Also located at the head of the navigational course of the Suez Canal, this will be one of the most important hub ports in the world. It can further change the nature of international trade east of the Mediterranean, turning this zone into an international trading and industrial centre that could be one of the largest free-trade zones worldwide.

    All success factors have been made available for this vital project, to be mostly undertaken by Egyptian and international companies that will incur the major part of costs and will make available such expertise that can attract international investments and world shipping companies. This project is governed by an equitable contract that strikes a balance between the rights of the state and investors, saving huge costs that would have been otherwise incurred by the government.

    Greetings to those who have been involved in this project at all stages of conception, planning and execution. A hearty salute to Egypt's youthful workmen in charge of a huge project on this vital site. This is one of the most significant mega projects that will yield promptly sure results within three years from the launching of work in the project when the first pier of the jumbo container-handling port will have been in operation.

    The project is also integrated with two other mega projects within the near vicinity. The first is the Sinai development project which allows more than 400,000 feddans to be added to its cultivated area and its varied resources to be exploited to the limit. The second is the economic zone project to the north west of the Suez Gulf that allows this area to be turned into a new population-attracting zone, thus expanding Egypt's inhabited space. This project rests on a huge industrial base along the banks of one of the most significant arteries of world trade.

    All favourable conditions for setting up mass export-oriented industries are made available as well as the opportunity to utilize the vast expansion in agriculture west of Sinai and east of the Suez Canal as a result of the access by the peninsula to the Nile waters.

    Brothers and Sisters,

    Our extended pursuit for setting up a number of mega projects in Toshka, south east of Aswan, in Suez, east of Port-Said and Sinai has been no luxury actuated by a desire to erect colossal bastions to be recorded in the annals of history. This was rather a national necessity dictated by growing over population within the Nile Valley and the need to generate new employment opportunities for Egypt's successive generations as well as the will to realize fair allocation of development opportunities over Egypt's regions, thus allowing each to have its fair share of progress.

    This pursuit has been an inevitable necessity imposed by huge advances in world economy and its increasing independence on mammoth industrial corporations. These are underpinned by private investments, high technology and the ability to afford costs of scientific research that has now become a basic component of production process as well as the power to access international markets, stand out in the face of world competition and provide a new generation of skilled manpower.

    This generation should be able to assimilate technological applications and modern fields of knowledge and boost exports that still pose as one of the most serious challenges to our capability.

    Since the beginning of the economic reform, we have been aware of the extent of the great leap to be made by the world economy as a result of the great technological development in telecommunications, the flow of information in addition to the creation of modern financial instruments that ensure the flow of capitals across a new world where geographical, economic and political barriers no longer exist. Our essential choice is based on the premise that Egypt, due to its unique location and leading role, can not isolate itself from the current course of events in the world around it. It is incumbent upon Egypt, while starting a comprehensive structural reform, to share in the world development and adapt its conditions and course to the variables of globalization; a great trend that emerged before the end of the Second Millennium and will radically affect our course in the Third Millennium.

    Globalization has imposed itself on the world as it has created a different international environment; established new criteria for the international economy, allowing the flow of capitals to places where wider profit opportunities are available. Accordingly, a close correlation is made between innovation opportunities and abundance of incentives. Economic resources were allowed to move to places where they could be efficiently used. Globalization, as such, has not been imposed on us nor have we been asked to join it as it waits for no one. Globalization has imposed itself on the course of human progress because more than half of the world product comes from states that adopt the principles of globalization. It has also become the language of the Third Millenium that should be learnt by all.

    We should master the discourse of globalization and prepare ourselves properly for it. Preparation for globalization is half the journey that starts from within with self-confidence and building state intitutions and the civil community on sound bases in addition to boosting capabilities of the concerned institutions to assimilate new knowledge and to read, with full awareness constant changes in the world so as to create better conditions for concordance and adaption with these variables.

    Globalization is underpinned on such institutions that protect efficiency and perfection as well as on clear-cut frameworks and laws that encourage private institutions to abide by quality standards within a stable environment allowing equal opportunities as well as equal treatment before law. Globalization is also based on a powerful private sector that understands its role and duties as well as on powerful civil community groups that can protect the consumers, encourage saving, maintain competitiveness and resist monopoly.

    In short, to be properly braced up for globalization, we should promote the competitiveness of the national production institutions, in order to be able to increase Egypt's share of international trade which is unfortunately still limited. We should also make use of the relative advantages that may provide better opportunities for Egypt to compete in the market. Among these advantages are Egypt's distinguished geographical location and huge human resources that are the bases of any progress.

    In this sense, globalization can not be seen as a spectre to be feared or abandoned as it ultimately leads to self-confidence, trust in our institutions, culture, history, power to compete armed with efficiency, knowledge, determination, and our ability to mobilize all our potentialities seeking to attain our goals.

    To us, dimensions of the whole picture were clear from the very beginning. We have been always aware that the Egyptian development path can not hit its target separately from world developments. The main challenge we face is the openness to a highly competetive world governed by powerful and able institutions and blocs. This makes it incumbent on us not only to develop our systems, tools and techniques, but also our vision so as to be able to face such challenge.

    We have also to enter into regularized relations with the existing economic blocs and keenly seek to be a part of a pan-national and regional grouping that enhances our common economic interests.

    The foregoing should be made within clear stable policies that define the role of the state in encouraging the establishing of corporations, opening the way to an essential role by the private sector, creating sound environment to uphold the progress of development and growth. We should also remain committed to observe stable policies, transparent procedures, clear-cut regulations and laws. We should also provide all factors that help attract world investment, create opportunities and areas of training, communication and contact with world expertise. Meanwhile, the private sector institutions have to develop their systems, techniques and tools in such a way that enables them to catch up with world development.

    Brothers and Sisters,

    I am following with great satisfaction the growing and steady increase in the the private sector's share in the main sectors of national economy as the private sectors investments have hit more than LE 37 billion, accounting for over 65% of the total investments in Egypt. Evenmore, the share of private sector in certain important and vital sectors over the past ten years has surpassed all expectations.

    As a whole, the private sector activities in the various sectors of the national economy now absorb more than ten billion workers representing two thirds of the Egyptian work-force.

    While these figures assert the increasing capability of the private sector to shoulder the burdens of development, they also assert the seriousness of those in charge of the projects of that sector. Should there be some examples of failure due to hard luck, mismanagement, or bad intentions, these very few examples still remain within the universally acknowledged ratios. On the other hand, the majority shows keen pursuit of serious attitudes and modern management components. It shows also a race for introducing sophisticated technology in their activities, increasing pursuit of control, quality and perfection factors, besides a commitment to pay back their loans to the banking sector.

    While we blame the private sector for having failed to increase Egypt's share of exports to the level of our expectations, inspite of its increasing growth, yet we can not deny that the leap effected in areas of national production due to the entry of the private sector as a basic partner in development has had the effect of meeting the needs of a local market, where consumption increase at 15% per year.

    Definitely, had not it been for this leap in local production thanks to efforts of the private sector, disequilibrium in the balance of trade would have redoubled.

    Our policies, for the coming stage, are to concentrate all efforts to increase Egypt's share of exports. This is the real challenge that we plan to face, especially that we possess now a highly developed industrial and agricultural base showing steadily increasing growth rates. In addition, we have a unique position, rich with numerous points of access to the international trade routes and a huge creative work-force.

    To increase the volume of exports is the basic challenge as well as the real guarantee that enables the private sector to expand its projects and enhance its potentialities, especially that the local market is almost saturated. Moreover, to increase the volume of exports is the right way to create fruitfull job opportunities to meet the increasing needs of a growing population.

    Concomitantly with the growth of globalization, the increasing role of the transnational corporations and the gradual lifting of cutsoms barriers, demarcations between the local and international market will break down. Hence, in order to preserve their share of local market, local producers have to upgrade their national production to the level of competing with foreign products both in terms of quality and price.

    Thus, it is certain that he who wins the local market will be capable of competing in the world market.

    Brothers and Sisters,

    We do our best to remove the obstacles in the way of the Egyptian exporter to be able to access the world markets and create a favourable atmosphere for the Egyptian production to be accepted in the international markets. Within this framework, we will continue to boost our relations with the international and regional blocs in addition to enhancing partnership relations on fair and equal bases with Europe or the U.S.A.

    Moreover, we will seek to strengthen our relations with the African continent where we have close interests. At the same time, we will never hesitate to apply the principle of reciprocity should we ascertain that our national production is not fairly treated in some foreign markets.

    On the pan-national level, we will endeavour to conclude bilateral agreements with some of the Arab countries, with the aim of establishing free zones that help increase bilateral trade exchange. Moreover, we try our best to convince our Arab brothers of the importance of establishing a common Arab market. This will ensure that the relevant advantages in every Arab country are invested; the interests of all Arab parties realized, the Arabs' power to negotiate with the international blocs boosted and the Arab development projects promoted through increasing the volume of Arab inter-trade.

    Brothers and Sisters,

    The whole society has supported with full conviction and confidence the huge process of transformation that has given a pioneering role to the private sector in development efforts. The state is, therefore, assigned the role of developing the infrastructure, maintaining vital and strategic sectors and industries, upgrading utilities and services, caring for low income categories so as to maintain social peace, steering the course of national economy march so as to guarantee the balance of interests between all categories of society in addition to allowing proper interaction of market forces and mechanisms away from hegomony and monopoly.

    The society has also supported the efforts to transfer the property of many public sector companies with the aim of improving their performance, curbing their accumulated losses and its growing dependence on the state's treasury and hand it over to new more decisive managements applying better controls, more capable of dealing with market mechanisms and improving production systems and techniques.

    Although workers have had initially some fears, yet, the whole situation has radically changed to a complete support of privatization programmes; after they had become completely sure that the state would not allow their means of living to be harmed and that sell-offs were not an end in itself, but the aim was to guarantee continuing development of these companies. In addition, sell-offs are completed within the framework of a transparent programme that guarantees that these companies are accurately evaluated, offered prices are fair, wider competition opportunities of acquisition are provided and constant upgrading of the companies business after privatization is guaranteed.

    The workers have become partners, totally or partially to the ownership of some of the companies. The performance reports of the privatized companies indicate that a great qualitative progress in its activities has taken place. The business volume of many of these companies has redoubled. Their profit rates have noticeably increased resulting in a constant rise in the rates of wages and incentives for workers.

    We do strongly support the role of the private sector, opening for it future prospects without any limits. This emanates from our belief in the importance of utilizing all the nation's potentialities and our trust that the private sector will achieve the required balance between its legal right to make profits and its national role to increase investment volume and create new job opportunities. While, as an irrevocable strategic orientation, we support the private sector as the leading sector in the development process, we stress at the same time that the state will have the upper hand by virtue of the rule of law and the institutions role in the face of attempts at domination, monopoly and impairment of market mechanisms by using unlawful means to gain illegal benefits at the expense of the society's interests. These negative practices undermine equal opportunities and invalidate the role which free and honest competition can play to ensure balance in an open market that opts for better quality and cheaper products.

    Our means to regulate the state's role is to upgrade performance in the state agencies and institutions entrusted with supervision, control and protection of the society's interests. This will enable them to play their roles on new bases that, while differing from those of the past, comply with international standards. Here, I underline the important role of the Central Bank, the stock market, the Companies Department and the similar institutions which control and monitor the economic activity in the country.

    These negative practices undermine the role of the private sector which should maintain the society's support for its role and function through a deeper vision putting into consideration the importance of balancing interests among the categories of the society to maintain social peace. Besides, it should put into consideration the imoprtance of respecting the consumers, rights to have clean service, good commodities and reasonable prices and the importance of fulfilling the rights of the state and society represented in taxes which enable the government to meet its commitments towards the lower classes.

    Brothers and Sisters,

    We are looking forward to a new stage aiming first at increasing the development rates to about 8% and keeping the continuity of this steady increase during the next years to be capable of making a qualitative leap for Egypt and Egyptians, ensuring that welfare will encompass all the categories of the society.

    Definitely, this is an ambitious goal and a difficult task but my trust in the capability of this nation to surmount difficulties makes me sure that we will attain the aspired success.

    Earlier, we have faced graver and more dangerous difficulties but despair has never touched our souls. We stood out in the face of rough winds and did our best in deep confidence that we will navigate through bottlenecks to better and more favourable conditions unitl we landed safely on shore. Now our problems are essentially different. We no more face the difficulties of the past with its problems and accumulated complexities but we rather face the problems of the future with its hopes, ambitions and challenges. We no longer face the danger of wasting effort, losing target or absence of correct vision because we have laid a strong foundation for a comprehensive awakening. Now it is our turn to continue to build upon in an already established base so as to boost national structure.

    We face a new stage that will necessarily have its own problems. Our responsibility is to face the problems of the present with the reasoning of the future rather than the past. We have to belong to our era, respect science, experience and knowledge, give an effective role to the institutions and wider opportunities of continuing participation.

    Borthers and Sisters,

    It is my pledge to work together for a brighter future and more prosperous homeland and for more fortunate new generations.

    It is my pledge to move together to a new century with a new vision, renewed determination, wider understanding of changing world conditions and determination to win the race.

    It is my pledge to retain the spirit of October that made the crossing come ture, maintain coherence and unity of the society, champion human rights, alleviate the conditions of the ultra poor and give equal opportunities of participation for all without distinction.

    It is my pledge to maintain the stability and security of the homeland, uphold social peace, support its institutions and powers and create a proper climate for progress.

    May Allah protect our country against all evils, make it always strong, invincible and boostful of the endeavours of its sons.

    "And say unto them: Act! Allah will behold your actions, and so will His messenger and the believers."