Investing in Egypt
The single largest FDI story on the continent in 2024, and the reason the continental headline figure needs reading carefully.
The numbers
Where the market stands
| Measure | Value | Source | Year |
|---|---|---|---|
| GDP growth, 2025 | 4.4% | IMF | 2025 |
| Projected, 2026 | 4.2% | IMF | 2025 |
| Ras El-Hekma deal | $35bn | UNCTAD WIR | 2025 |
| IMF programme | EFF, 7th review | IMF | 2026 |
The case
Why capital is looking at Egypt
- A gateway position between African, Middle Eastern and European trade corridors, with industrial and logistics infrastructure already in place.
- Gulf capital has committed at a scale that changes the funding environment for adjacent projects.
- Currency flexibility since 2024 has eased the FX shortages that previously blocked repatriation.
The risks
What would have to go wrong
Named plainly, because an allocator who finds these out later stops trusting everything else on the page.
- High external debt and dependence on portfolio flows, which reverse quickly.
- Currency fragility persists despite the float, given the inflation differential.
- Regional conflict exposure affects both tourism receipts and Suez transit revenue.
Execution
What entry actually involves
The Ras El-Hekma commitment distorts comparisons. Underwrite the specific project, not the national inflow statistic, which one transaction dominates.
Priority sectors in Egypt
Other markets
Enquiries
Talk to the desk about Egypt
Tell us the mandate, the stage and the timing. If we are not the right desk for it, we will say so and point you at who is.
