Factbox: Egypt's Economic Strategy for 2024-2030

The Egyptian government launched in January a comprehensive eight-direction economic strategy for the period 2024-2030, the document of which tackles several aspects of economy and quality of life.

This document is set to be offered for public discussion soon before receiving official approval to enter into force.

Here is a breakdown of the eight directions of the new strategy.

First direction: Achieving sustainable economic growth Key objectives: Achieving an average constant price GDP growth of 6-8 percent.

Elevating agriculture, industry, and telecom & IT sectors' GDP contribution to 50 percent. Adopting a national investment strategy to attract EGP 32 trillion.

Augmenting annual investments to 30 percent of GDP. Ensuring steady growth in the volume of public investments, with no less than a 10 percent annual increment.

Enhancing the percentage of private investments’ contribution to the total implemented investments to about 65 percent during the period 2024-2030.

Ramping up green public investments to at least 75 percent of total public investments in 2030.

Doubling the percentage of foreign direct investments’ contribution to the gross domestic product, targeting the attraction of direct foreign investments worth approximately $100 billion during the period 2024-2030.

Escalating annual exports to $145 billion by establishing 10 new specialized economic zones, developing 10 industrial clusters for export, and targeting 10 promising markets for Egyptian exports.

Generating EGP 743 billion through doubling female participation in the labor force from 15 percent to 32 percent.

Amplifying Upper Egypt governorates' contribution to GDP from 13 percent in FY2020/2021 to 20 percent in FY2029/2030.

Creating 7-8 million jobs, including 5 million in infrastructure and Suez Canal projects.

Uplifting the private sector's operational contribution to the economy from 60 percent to 90 percent.

Targeting a 15 percent annual increase in infrastructure investments during 2024-2030.

Second direction: Supporting economic policies Key objectives: Achieving pricing stability and reducing inflation to single digits by the end of 2025.

Adopting a flexible exchange rate policy. Reducing the trade deficit to no more than 2 percent of GDP.

Introducing the E-pound by 2030. Expanding the financial inclusion rate to 100 percent and targeting 80 million E-wallets by 2030.

Decreasing the debt-to-GDP ratio from 96 percent in FY2022/2023 to 75 percent in FY2029/2030 and limiting the budget deficit to no more than 5 percent.

Decreasing debt service to 8 percent of GDP. Boosting annual foreign exchange revenue to $300 billion by enhancing the revenue of exports, tourism, remittances, the Suez Canal, and outsourcing services.

Third direction: Leading economic sectors of Egypt Key objectives: Agriculture Expanding agriculture land to 12 million feddans by 2030 from 9.6 million in FY2021/2022.

Elevating vegetables and fruits exports to $14 billion by 2030.

Enhancing feddan productivity to 3.3 tons through cultivating high-productive crops to increase local production of wheat, covering 70 percent of Egypt’s needs by 2030.

Extending the smart card for farmers to include 5.7 million farmers by 2030 and providing healthcare coverage to 100 percent of Egyptian farmers by 2026.

Industry Elevating the contribution of manufacturing industries to 20 percent of GDP or EGP 2.7 trillion by 2030.

Accelerating the annual growth rate of industrial exports to 20 percent.

Increasing industrial complexes from 17 in 2023 to 32 in 2030.

Boosting the local component in manufacturing to 60-80 percent by 2030.

Achieving the National Auto Manufacturing Strategy to generate $4 billion annually by producing up to 500,000 cars per year, exporting a quarter of that output, by 2030. Augmenting electronics exports by at least 20 percent.

Creating one million jobs in STEM fields, including electronics design, software, and semiconductors.

Enhancing annual pharmaceutical exports to $5 billion by 2030.

Increasing annual Egyptian merchandise exports to Africa to $20 billion by 2030.

Telecommunication & IT Expanding mobile network towers to cover 45 stations by the end of 2030 from 31,000 in FY2022/2023. Increasing outsourcing exports to $13 billion. Establishing a free zone for telecommunication and IT at the Suez Canal Economic Zone (SCZone).

Elevating the sector’s contribution to GDP to 7 percent from 3.4 percent.

Improving Egypt’s global cybersecurity and network readiness ranks to the top 10 and top 30, respectively. Augmenting the number of trainees in the telecommunication and IT field to one million from 265,000. Oil & mineral resources Amplifying the mining sector’s contribution to GDP to 5 percent from 0.5 percent.

Doubling oil and gas exports to $36 billion from $18 billion. Reducing the sector’s emissions by 65 percent. Expanding exploration and reducing gas flaring projects. Tourism Increasing annual tourism revenue by 20 percent each year to reach $45 billion in 2030.

Doubling the number of annual visitors to 30 million and increasing the number of hotel rooms to 500,000. Launching free tourist zones and exempting investors from corporate taxes until 2030.

Positioning Egypt as a key destination for medical tourism, targeting 200,000 tourists annually to generate up to $1.2 billion.

Aviation Increasing Egypt’s cargo planes fleet to at least 130 by 2030. Improving the global rank of Egyptian carriers to the 30th from the 95th.

Enhancing the capacity of airports nationwide to 97.4 million passengers annually from 64.8 million. Transforming Cairo International Airport into an international transit trade centre.

Electricity & renewable energy Augmenting the renewable energy contribution to the Egyptian power grid to 42 percent by 2030. Raising electricity exports to 1.5 gigawatts per day. Finalizing power connectivity projects between Egypt, Saudi Arabia, Jordan, Greece, Italy, and Sudan.

Transport Increasing the average GDP growth rate of transport and storage at constant prices to 6 percent in 2030. Elevating investments in the transport and storage sector to EGP 1.529 trillion.

Constructing 34 axes over the Nile and 1,160 bridges during 2024-2030. Completing high-speed electric train, monorail, and Cairo metro development projects.

Fourth direction: Knowledge-based competitive economy Key objectives: Tripling research and development spending as a proportion of GDP to reach three percent. Targeting a Global Innovation Index ranking of 50 by 2030. Implementing a robust strategy for Egypt's Fourth Industrial Revolution transition.

Forming the Supreme Council for Industrial Revolutions to adopt these technologies.

Converting 5,000 Egyptian companies into Fourth Industrial Revolution pioneers.

Applying these technologies for enhanced competitiveness, aiming for Egypt to be among the top 30.

Increasing the Fourth Industrial Revolution's contribution to output by at least eight percent.

Digitizing 100 smart factories and 50 percent of government services with AI and blockchain. Elevating green investments to 75 percent by 2030, up from 30 percent.

Seeking funding for climate change programs and raising the green economy's GDP share to at least five percent. Establishing Egypt as a regional and global green hydrogen centre by 2030.

Investing in green hydrogen projects, aiming for significant economic gains.

Allocating trillions for green hydrogen projects in the Suez Canal and region's economic zones. Aiming for the top 50 in the Global Environmental Performance Index and top 10 in the Climate Change Performance Index.

Fifth direction: Improving quality of life Key objectives: Increasing pre-university education spending to EGP 1.8 trillion (2024-2030) from EGP 861 billion in the previous nine years.

Adding 105,000 classes by 2030, totaling 225,000 new classes (2024-2030).

Connecting 100 percent of Egyptian schools to the internet, annually increasing high-speed internet schools by 10 percent.

Improving support for disabled individuals in pre-university education.

Aiming to rank 20th in the educational system quality index by 2030, up from 37th in 2022. Supporting university education with at least two percent of GDP. Allocating a minimum of five percent of GDP for public health spending.

Renovating and establishing 3,100 health facilities by 2030, compared to 452 in the past nine years.

Increasing local pharmaceutical production to cover about 95 percent of the market’s needs by 2030, up from about 75 percent in 2022.

Boosting annual spending on social safety nets by 10 percent (2024-2030).

Increasing spending on social protection to 23 percent of total public spending (2024-2030), up from about 18 percent.

Increasing funding for the Takaful and Karama cash subsidies programme to around EGP 240 billion, benefiting about 27 million citizens.

Raising support for the Takaful and Dignity cash programme for special needs to about EGP 70 billion, benefiting around 3 million citizens.

Expanding insurance pensions to 11 million citizens (2024-2030), compared to 10.4 million in the previous period. Supporting about 2 million citizens from poor families with micro-projects at a cost of about EGP 6 billion during the period 2024-2030.

Extending social and insurance protection to about 500,000 irregular workers during the period 2024-2030. Developing 4,584 villages affiliated with 175 cities in 20 governorates through direct and indirect interventions within the Decent Life initiative.

Aiming for nationwide sanitation service coverage to reach 100 percent by 2030 and modernize irrigation systems for 1.1 million feddans.

Implementing the national plan for water resources management, including improving water quality and developing new water resources.

Increasing the total capacity of desalination plants to 3.35 million cubic metres per day by 2025 and to 8.5 million by 2050.

Expanding the number of subsidized food items to more than 100 to offer a wider range of supply options for citizens. Launching smart ration card services and catering activity services in approximately 332 government service complexes at the local level.

Maintaining a commodity stock of at least six months of strategic goods to ensure stability and readiness in supply. Establishing 60 pivotal and regional logistical commercial zones nationwide by 2030 to reduce trading costs and commodity prices.

Planning to establish about 672,000 housing units by 2030, allocating an estimated EGP 318 billion to implement a strategy to address the factors causing the phenomenon of informal settlements.

Sixth direction: Egypt’s role in global economy Key objectives: Increasing Suez Canal revenues to $88.1 billion during the period 2024-2030.

Aiming to increase the total number of ships transiting the Suez Canal to about 190,700 ships with a tonnage of about 13.4 billion tons during the period 2024-2030.

Targeting EGP 5.4 trillion in revenues from investments in industrial sectors within the SCZone by 2030.

Transforming the Suez Canal into a regional green energy centre by 2030.

Providing 100,000 job opportunities in the SCZone to reach one million job opportunities by 2030.

Formulating a national strategy to increase Egypt’s share in transit trade from 3.7 million containers to 15 million containers.

Developing at least five Egyptian ports on the Red and Mediterranean Seas into centres for international transit trade.

Increasing East Port Said, West Port Said, and Sokhna ports’ annual capacity to receive transit containers. Targeting a minimum 20 percent share of transit trade in the Eastern Mediterranean.

Forging strategic partnerships with international shipping companies owning over 70 percent of the global fleet of container ships.

Reducing actual inspection of transit shipments not entering Egypt to the lowest level by adopting risk-based inspection systems and faster customs procedures.

Strengthening Egypt’s role in the BRICS+ bloc, expanding international development cooperation in energy, transportation, and green transformation.

Doubling exports to COMESA countries (21 countries) to reach $20 billion by 2030, enhancing cooperation within the African Continental Free Trade Area (AfCFTA) (54 countries).

Establishing a direct shipping line with Latin America and a logistics area in a Brazilian port to increase Egyptian exports to Mercosur countries.

Seventh direction: Youth as a basis for development Key objectives: Increasing youth participation in parliament to at least 33 percent by 2030 (compared to 17 percent in 2021).

Raising youth involvement in local councils to no less than 25 percent by 2030 through the national project preparing youth for political engagement.

Aiming for a minimum of 20 percent youth participation in ministerial portfolios and 30 percent as assistants and aides to ministers by 2030.

Eighth direction: Active role by Egyptian expats Key objectives: Launching at least 20 major community projects by 2030 in targeted governorates, engaging Egyptians abroad and international entities, compared to about 10 projects in 2022.

Aiming to reduce the cost of workers’ remittances abroad to less than three percent by 2030 and eliminating all remittance channels that cost five percent (of the value of remittances) by 2030.

Doubling the number of representatives for Egyptians abroad within the Egyptian entity to 18 representatives by 2030 from nine.

Attracting at least $6 billion by maintaining communication with Egyptian investors abroad to encourage investment and company establishment using Egyptians’ savings abroad during the period 2024-2030.

Launching an investment fund offering units for subscription to shares in state-owned companies valued at one billion dollars, as part of implementing the state ownership policy for Egyptians working abroad.

Opening foreign labour markets for approximately three million Egyptians in developed countries by focusing on specialized certifications recognized by these countries, enabling access to job markets.