Egypt and Energy Diplomacy: A Strategy for Transforming into a Global Regional Hub

In a strategic move reflecting a radical shift in foreign and economic policy, Egypt continues to bolster its regional and international standing by activating what is known as "energy diplomacy." Egypt's energy sector is no longer merely a resource to meet domestic needs, but has transformed into an effective tool for geopolitical influence, bolstered by massive gas discoveries and cross-border electricity interconnection projects.

From self-sufficiency to regional hub

This transformation stems from major natural gas discoveries, most notably the giant Zohr field in the Mediterranean Sea in 2015. This discovery not only enabled Egypt to achieve self-sufficiency but also placed it on the map of global energy exporters. Cairo leveraged this resource to establish the East Mediterranean Gas Forum (EMGF), headquartered in Cairo, which has become an international platform bringing together gas producers and consumers in the region, thus enhancing Egypt's political weight as an indispensable player in European energy security.

Electrical interconnection: a bridge between continents

Egypt's energy diplomacy extends beyond natural gas to include ambitious electricity interconnection projects. Egypt aims to become an energy bridge between three continents, having made significant progress on interconnection projects with Saudi Arabia for load sharing during peak demand periods, as well as interconnection projects with Sudan to the south. Most importantly, there are strategic agreements for offshore electricity interconnection with Greece and Cyprus, which aim to export electricity (including renewable energy) to Europe, making Egypt a vital partner for the continent amidst global energy crises.

Economic and geopolitical dimensions

This trend has significant economic dimensions, as the energy sector contributes to attracting foreign direct investment and generating hard currency. Geopolitically, these moves have strengthened Egypt's relations with neighboring countries and the European Union, making Cairo a key player in the Mediterranean's energy security equation. Amid current global tensions and the urgent need to diversify energy sources away from dependence on a single source, Egypt emerges as a reliable alternative and a logistical hub for liquefying and exporting gas, giving it strong leverage and negotiating power on the international stage.