Egypt’s economy grew by 5.1 per cent in the 2025/26 financial year, one of the fastest rates in the Middle East, while unemployment fell to a record low of 5.8 per cent, Prime Minister Mostafa Madbouly said.
Addressing a meeting of President Abdel Fattah El-Sisi with ministers, governors and senior officials on Tuesday, Madbouly said growth was increasingly driven by productive sectors, including manufacturing, agriculture, tourism and information technology, rather than exceptional projects or Suez Canal revenues.
He said inflation eased to 12.7 per cent last month from 23.2 per cent in January 2025, while the public debt-to-GDP ratio fell to 81.8 per cent at the end of the last financial year, from about 96 per cent two years earlier.
The government aims to reduce the ratio to around 78 per cent this year and, following presidential directives, to 75 per cent, he said.
Madbouly also said Egypt recorded a primary budget surplus of 4.9 per cent of GDP last year. State revenues rose 32 per cent, including a 27 per cent increase in tax receipts, without raising tax rates, he added.
Foreign currency inflows have strengthened, with remittances from Egyptians abroad rising 32 per cent year-on-year to about $35 billion between January and August, Madbouly said. Suez Canal revenues were also beginning to recover, while tourism activity continued to grow.
Foreign investment, previously concentrated mainly in oil and gas, has shifted increasingly towards industrial projects, he said, describing the change as evidence of improved investment conditions. The government is seeking more manufacturing investment to deepen local production, boost exports and create jobs.
Madbouly said the government was focused on expanding employment, particularly for women, and attracting higher-quality, better-paid jobs in sectors such as advanced manufacturing and information technology.
He made the remarks after attending the United Nations General Assembly meetings in New York, where, he said, world leaders had warned of slowing growth, high inflation, rising debt and energy pressures.
