Egypt: Economic Snapshot 2022
Click here to read our EgyptEconomic Report and Investment Analysis 2022 online …
The Report: Egypt 2022OBGplus
Egypt’s varied history, straddling multiple geopolitical and economic spheres, continues to shape the country’s development. However, this does not come without challenges. Food security uncertainty stemming from Russia’s invasion of Ukraine in early 2022 is a particular headwind, in combination with associated issues like inflation and foreign exchange risk. Moreover, 29.7% of Egyptians sti
Egyptian policymakers promote plans to improve socio-economic outcomesOBGplus
While the current constitution dates from 2014, Egypt became a presidential republic in 1952. Under a presidential republic, the president – who serves as the head of state – selects the Cabinet and the prime minister; Mostafa Madbouly has occupied the role of the latter since 2018. The president is elected by an absolute majority of voters and initially serves a four-year term, which, conventionally,…
Egyptian government seeks new financing sources to bridge its deficitOBGplus
Despite a successful economic reform programme implemented in 2016, Egypt continues to grapple with a fiscal deficit. In FY 2019/20 Egypt recorded a deficit of LE462.8bn ($29.4bn), the highest since the start of the 2016 reform initiatives. While this figure contracted to LE432.1bn ($27.5bn) in FY 2020/21, it is forecast to expand to LE475.5bn ($30.2bn) in FY 2021/22, according to a December 20201…
Will increased middle class spending fuel the Egyptian economy?OBGplus
Egypt was one of the few economies to witness positive GDP growth in the first two years of the Covid-19 pandemic, fuelled in part by strong consumer spending. According to a November 2021 report from Fitch Solutions, real household spending expanded by around 7% in both 2020 and 2021 – despite the widespread impact of the pandemic, which hit key sectors such as tourism particularly hard. This performance…
Digitalisation is key to bolstering Egypt's food and water securityOBGplus
Many of the government of Egypt’s recent reforms have centred around modernisation and digitalisation across all areas of the economy. Egypt Vision 2030 lays the groundwork for a digital transformation, and the Sustainable Agriculture Development Strategy 2030 focuses this shift on the agriculture sector. With climate change exacerbating water scarcity and food insecurity, it will be important for…
Fintech revolutionising remittance process in emerging marketsOBGplus
Financial technology (fintech) firms are gaining market share that was formerly the preserve of established remittance service providers. Remittances have grown in importance in recent decades and now constitute the largest source of foreign income for many developing economies. They also tend to be countercyclical, increasing during economic downturns or natural disasters when other capital flows…
Egypt looks to international partners to finance infrastructure developmentOBGplus
Egypt has invested heavily in improving transport, housing and energy infrastructure in recent years. The government has been moving to establish new railway lines, renovate seaports and airports, and improve road networks (see Transport chapter). It has built new power plants, established new urban areas and expanded the country’s strategic Suez Canal. Much of the government’s current strategy…
Egypt ramps up oil and gas exploration and boosts productionOBGplus
In the years since 2015, when gas production was low and Egypt had to rely on imports to meet its needs, the government has implemented policies to boost oil and gas output at home. The 2017 Law for Gas Market Activities Regulation helped the authorities attract greater international investment in the offshore segment, and this was further supported by the establishment of the Natural Gas Regulatory…
Egypt's energy sector focuses on sustainability and net-zero emissionsOBGplus
As environmental, social and governance concerns become increasingly important in the corporate world, insurance companies are emerging as potentially key players in the shift away from fossil fuel-powered projects. The launch of the UN-convened Net-Zero Insurance Alliance (NZIA) in July 2021 reflects the global industry’s wider recognition of climate risks. Net Zero The NZIA was founded by eight…
