Egypt’s economic landscape is witnessing a dynamic transformation, marked by a decrease in inflation, a surge in international reserves, and ambitious export targets. These developments reflect the nation’s strategic efforts to bolster economic stability and growth, as reported by the Central Agency for Public Mobilization and Statistics (CAPMAS) and the Central Bank of Egypt (CBE).
The nation’s annual inflation rate eased to 23.4% in December 2024, down from 25% in November, according to CAPMAS. This decline is attributed primarily to reductions in the prices of key food items, including vegetables, meat, poultry, and dairy products. Such a trend offers a respite to consumers and hints at improving economic conditions.
In a parallel development, Egypt’s net international reserves (NIRs) rose to a historic high of $47.1 billion by the end of December 2024. This increase of $157 million from the previous month underscores a steady upward trend, reflecting enhanced financial stability. Over the past year, these reserves have surged by $11.9 billion, showcasing Egypt’s robust capacity to meet international financial obligations and stabilize its currency.
Egypt’s exports reached an unprecedented $40 billion in 2024, as announced by Minister of Investment Hassan El-Khatib. In a bold vision, the minister outlined plans to boost exports to $145 billion by 2030. This ambitious target is supported by a new export rebate program aimed at enhancing Egypt’s competitiveness in global markets.
At a recent meeting with export council leaders, Minister El-Khatib emphasized the importance of revitalizing domestic industries and exploring untapped production capacities. The government plans to refine the rebate program, leveraging existing studies to enhance local production and technological innovation.
Minister El-Khatib highlighted Egypt’s strategic advantages, such as its geographical location, low energy costs, and skilled workforce, positioning the country as a prime destination for international investment. Furthermore, the government aims to capitalize on global trends by attracting industries to Egypt’s competitive hubs.
To solidify Egypt’s presence in Africa, plans are underway to implement export risk programs and establish logistics centers in major African cities. These initiatives are designed to strengthen economic ties and boost Egypt’s export footprint across the continent.