Egypt has announced its second cabinet in less than a year and the decision to shake up the government again came as no surprise.

Local rumours regarding the fate of key ministers had been circulating for weeks, with the decision coming just a few days before Prime Minister Sherif Ismail is due to submit the government’s development plans to the newly formed parliament.

The decision to change key posts such as the investment, finance, tourism and transportation ministers may prove to be a gamble as Egypt’s development roadmap meets its latest hurdle.

Many sectors have witnessed slow progress since the economic development conference in March last year, with the nature of Cairo’s quest for investment rooted in direct negotiations with government bodies.

The Cairo Metro was negotiated directly with the French, and, more recently, Line 6 of the rail link is being negotiated with the Chinese. Similar talks have also taken place for the New Capital City  scheme and many power and water projects. In the absence of a private sector, which is still too apprehensive to invest heavily, Egypt’s government ministers have been central to the country’s development plans.

Despite slow progress, key ministers such as Ashraf Salman and Hani Demian, who have championed the country’s recovery plans for the past year, have built particular relationships with foreign investors. Analysts fear that Cairo must start rebuilding these relationships at a time when foreign donors remain sceptical of the political will required to apply urgent reforms.

Domestically, the move is being seen as a positive one. Local newspapers have hailed Al-Sisi’s willingness to change the government as an illustration of his leadership and determination to speed up the implementation of major schemes.

In the long term, local political commentators have said the make-up of the new cabinet is positive. Egypt has opted for more technocrats, such as the new investment minister, Dalia Khorshid, and the new finance minister, Amr el-Garhy, who both have a recent background in local industries – Orascom Construction (OCI) and Qalaa Holdings respectively.

Nonetheless, in the short term, the change in government is likely to cause delays as new ministers begin to implement their respective strategies and continue existing negotiations with investors.