Egypt Bolsters Strategic Reserves Amid Regional Tensions, President El Sisi Directs New Agency

Egyptian President Abdel Fattah El Sisi has mandated a newly established agency, under the leadership of an army general, to explore the development of strategic reserves. This initiative aims to bolster the nation's capacity to manage emergencies.

President El Sisi's directive was issued to General Mohammed Abdel Rahman Rabia, who serves as the armed forces' Chief of Staff and heads the National Authority for the Management of Crises and Emergencies. The order comes at a time of heightened concerns regarding a potential resurgence of full-scale hostilities between Iran and the United States, which could significantly disrupt global supply chains.

According to a presidential statement released late Saturday, President El Sisi emphasized the authority's role in "studying the creation of strategic reserves for the state to counter emergency situations in co-ordination with the country's institutions." Earlier in the week, President El Sisi had cautioned that military escalation would result in "disastrous" consequences for both the region and the global community, urging all parties involved to pursue a diplomatic resolution "before it's too late."

Egypt has largely avoided the direct impact of the hostilities that have affected the Middle East since the Iran war commenced on February 28, following which Iran began missile and drone attacks on its Arab neighbors. However, a drone strike in July targeted a gas tanker docked at the Mediterranean port of Damietta, causing it to catch fire. No group has claimed responsibility for the attack, and Egyptian authorities have not publicly identified any culprits.

In related security developments, the El Sisi government announced last month its intention to deploy troops to Saudi Arabia to support its ally and benefactor against attacks by Yemen's Iran-backed Houthis. While Egypt's Parliament has approved this deployment, neither Cairo nor Riyadh has confirmed the arrival of Egyptian troops in the kingdom.

Security sources indicated last week that Egypt's armed forces have been placed on high alert. Air defense systems have been reinforced along the country's vulnerable Red Sea coastline and at the Suez Canal, in anticipation of potential spillover effects from renewed hostilities. As the most populous Arab nation with 110 million people, Egypt has been closely monitoring its strategic reserves of essential food items, particularly wheat flour, due to concerns that major hostilities in the Red Sea could disrupt supply chains, according to the sources.

The government stated last month that its reserves of essential food items are sufficient to last for six months. Around the same period, the state importer Future of Egypt procured five cargoes of wheat, representing one of its most substantial purchases in the preceding six months.