By Eslam Mohamed El Saaran

Egypt, an emerging economy, starting to come back on the international economy screen from only 2014. Grasping worldwide attention to the momentum, speed, international cooperation and recognition of all International Economic Bodies. With an unconventional approach, let us start backward from the Future.

Egypt 2030, is an aggressive plan for acquiring Sustainable Development Goals that are competitive enough to secure Egypt in the 30th Green Economy Powerhouse. Leading African nations to Africa 2063 an integrated continental and logistics cooperation, backed by natural resources of water, energy, minerals, and farms to provide the world with world-class exports of natural and value-added goods and services. Leading Middle East Nations, out of turmoil to Sustainable Peace, for aggressive partnerships with Saudi Arabia, UAE and GCC countries outside the realm of Oil-driven to non-oil economic sectors. Bridging Gaps between East & West, to evade World Trade disruptions between World Super Powers, allowing Egypt to be an open Investment Market for the USA, UK, EU, Russia, China, India, and Asian Tigers.

Egypt 2020, is a single step towards fulfillment. Capitalizing on strong, educated and trained youth for industrialization and innovative technology. Paving a path for International Investors for ease of doing business with Public and Private Sectors via automated processes and single service window via GAFI (General Authority for Investments & Free Zones). Motivating SME’s to gain a share of economic growth with legislation, incubation and finance options. Setting new foundations for world-class education, continuous learning, research & development, powerhouses, and think tanks in partnership with International Universities of Top 100 ranking worldwide.

Egypt 2018, Now, is inviting International Investors to a diversified investment portfolio in agriculture, industry, renewable energy, world exports, technology, health, and education. Investors enjoy a Haven of selected world-class tourism destinations, plus freehold real estate acquisition of mansions and exquisite real estate in addition to residency. The foundation has been laid via investment legislation, world-class infrastructure, mega power plants, and utilities, Grand projects including a Logistics Hub for New Suez Canal, New Administrative Capital of Cairo and South Sinai link with Saudi NEOM project.

Economic reform is taking shape after two aggressive years that awed and intrigued World Bank, IMF, International Ratings (S&P, Moody’s and Fitch), Multinationals, World Super Powers and Family Offices. Private investment, economic growth, foreign reserves, non-oil business activity acquired high levels of economic achievement in No-Time.  

Net Foreign Direct Investment has been fluctuating but started to pick up from 2014 to reach a 4 billion USD per quarter, reaching 13.3 billion USD for Financial Year 2016/2017 ending on June 2017, that is an increase of 6.5% from previous year closing 12.5 billion USD. Forecasting 2018 to 2020, an expected influx by a further 7 to 10% is expected.

Annual GDP growth rate increased from 3.8% per annum in 2017 to a current 5.4% in 2018 closing at 235 billion USD. Forecast growth in 2020 is expected to be 5.8% with a target GDP of 315 billion USD. That is a high increase of 134% from 235 billion USD to 315 billion USD.

Egypt’s exports are stabilizing at an average of 8 billion USD per annum (mainly petroleum, agriculture, construction materials, chemicals, textiles) with an outlook for an increase in 2018-2020 to 14 billion USD, that is a staggering increase of 175% from 8 billion to 14 billion USD.

A healthy exponential growth of Egypt’s foreign reserves of a multi-basket of worldwide currency increased in 2014 at 15 billion USD to an exacerbating 45 billion USD. That is an increase of 300% in less than four years. It is forecasted that in 2018-2020, Egypt would reach a Foreign reserves level of 50 plus billion USD.

Egypt’s competitiveness index jumped from 3.6 points in 2014 to 53.5 points in 2018, an increase of 1500%. That is a powerful economic indicator that is calculated from a series of financial performance KPI’s. It is forecasted that in 2018-2020, it would reach a level of 57 points, a further 107% increase. The international competitiveness rank jumped from rank 119 in 2014 to 94th country in 2018. It is expected to maintain the same position for the 2018-2020 period.

 For an International Investor, the Ease of Doing Business rank for Egypt jumped eight places from 128 to 120th country in 2018. The index is forecasted to stabilize in 2018-2020 in the same class.

Egyptian Government, public revenue closed at 540 million LE for 2017, almost stable from 2014. It is forecasted to increase to 840 million LE by 2020, an increase of 155% in less than three years.

Egyptian Tourism is coming back after low levels reaching only 3.8 billion USD in 2016. 2017 shows an increase to 7.6 billion USD, an increase of 200%. It is expected to reach 9.1 billion USD by 2020, an increase of 120%

International Investors financial risk is highly managed by a stable Local Currency Rate of the Egyptian Pound to US Dollar from November 2016. Inflation rates are controls by tight fiscal measures dropping from a high 26% to a low 11.4% in just two Quarters. Minor fluctuations are apparent closing on 17.7% by October 2018. The same is expected to reach only 9.5% by 2020.

The interest rate in Egypt is stabilizing after November 2016 fiscal reform. Currently, it is closing at 16.75% in 2018, dropping from 18%. It is forecasted to further decline to 14.5% by 2020.

Starting 2016 and with the support of International Bodies and Investors, Government development programs were financed by external debt. The debt is within international safe limits of 101% to GDP compared to Developed Economies surpassing such threshold. It is expected to drop to only 83% by 2020.

Egypt 2020 is your Middle East Investment Hub, welcoming international investors in all industries to cooperate with the Egyptian Government, Authorities, Public & Private Companies and Businessmen. Rest assured that the Government backs and supports all serious investors willing to invest in the short, medium and long terms for competitive and sustainable profits and returns.


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