Egypt's Construction Industry Thriving with Major Investments and Growth Projections
Key Ideas
  • Egypt's construction industry expected to grow by 4.2% in 2024, driven by public and private investments in commercial, transportation, and renewable energy projects.
  • Government's FY 2024/25 draft budget includes significant capital expenditure for infrastructure, education, and health sectors, contributing to the industry's growth.
  • Industry's output forecasted to grow by 8.7% annually between 2025 and 2028, with investments in transport, renewable power, housing, and green hydrogen infrastructure projects.
  • Partnerships like the MoU signed with Turkish firm Dogus for an industrial and logistics zone in Gargoub Port further highlight the sector's growth potential.
The construction industry in Egypt is poised for significant growth, with expectations to increase by 4.2% in real terms in 2024. This growth is fueled by both public and private investments in various sectors such as commercial, transportation, and renewable energy projects. The government's announcement of the FY 2024/25 draft budget, with a substantial capital expenditure allocation for infrastructure, education, and health sectors, is set to further boost the industry. The forecast indicates an annual average growth of 8.7% between 2025 and 2028, supported by investments in transport, renewable power, housing, and green hydrogen infrastructure projects. Recent partnerships, like the memorandum of understanding with Turkish firm Dogus for an industrial and logistics zone in Gargoub Port, highlight the industry's expansion plans. Additionally, the government's vision to develop new specialized economic zones and increase industrial complexes bodes well for Egypt's construction sector's future. Overall, the industry's positive growth trajectory and strategic partnerships position Egypt as a promising market for construction and infrastructure development.
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