Egypt has been on track to boost its economy and achieve sustainable development.
In doing this, the populous Arab nation is tapping into its tremendous potential to exist on the global economic map.
Egypt now has rewarding opportunities for investors – both local and foreign – who seek growth and good returns on their investments.
Business Insider ranks Egypt second in its list of top ten African investment destinations in 2022. Egypt is second only to Nigeria in the list.
The list also includes South Africa, Algeria, Morocco, Kenya, Ethiopia, Ghana, Angola, and Côte d’Ivoire.
Earlier this month, Business Insider described the Egyptian economy as an ‘ideal economy for investors’.
According to Reuters, Egypt’s economy grew by 9.8 per cent in the first quarter of 2021/22.
Egypt is one of the wealthiest African countries, having the second highest GDP in the continent, with $362 billion in 2020/21, according to Statista, a German provider of market and consumer data.
It expects Egypt’s GDP to reach $394 billion in 2021/22.
Egypt has been working to improve its investment climate to make it more appealing to investors.
“Trust by global economic agencies in the Egyptian economy boils down to the structural reforms initiated in the country in the past years,” leading economist, Rashad Abdo, who is the head of local think tank, Egyptian Forum for Economic and Strategic Studies, told the Egyptian Mail.
He said these reforms included the liberalisation of the exchange rate of the Egyptian pound in November 2016.
Abdo pointed out that the robust economic policies the state has pursued succeeded in stabilising the national currency and contributed to bringing the national unemployment rate down.
The government pays special attention to the attraction of foreign direct investments (FDI), considering them a key factor in addressing many economic challenges.
FDI inflows grew by 11 per cent between 2018 and 2019, from $8.1 billion to $9 billion, according to the Central Bank of Egypt.
Egypt maintained its position as the top FDI magnet in Africa in 2020, for the third year in a row, Abdo said, citing a report by the United Nations Commission on Trade and Development.
Egypt has launched a series of regulatory reforms, including by passing a new investment law in 2017, a new companies law and a bankruptcy law in 2018.
The reforms also included the drafting of a new customs law in 2020, with a single-window system, and an e-payment system.
Egypt has hammered out a large number of partnerships with global organisations.
It is also a member of the
World Trade Organisation, the African Continental Free Trade Agreement and the Greater Arab Free Trade Area.
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