Egypt’s Foreign Direct Investment Climbs to 13 Billion Dollars in Nine Months
Foreign direct investment into Egypt rose to about 13 billion dollars in the first nine months of the 2025/26 fiscal year, up from 9.8 billion dollars a year earlier, according to the Central Bank of Egypt, a rise of roughly 33 percent, our calculation, that helped offset an exit of portfolio money and narrow the country’s overall external gap.
The gain came almost entirely from outside the oil sector, where net investment reached 13.5 billion dollars, while oil and mineral resources swung to a small net outflow. Greenfield projects and capital increases drew net inflows of 7.2 billion dollars, including a 3.5 billion dollar payment tied to the Alam El-Roum development on the north coast, and reinvested earnings added 4.5 billion dollars.
| Indicator | Figure |
|---|---|
| Net FDI, 9 months FY2025/26 | about 13 billion dollars |
| Net FDI, year earlier | 9.8 billion dollars |
| Change | about plus 33 percent, our calculation |
| Non-oil FDI | 13.5 billion dollars |
| Greenfield and capital increases | 7.2 billion dollars |
| Reinvested earnings | 4.5 billion dollars |
| Capital and financial account, net inflows | 9.9 billion dollars |
| Overall balance-of-payments deficit | 1.8 billion dollars, narrowed 2.9 percent |
The FDI surge drove the capital and financial account to net inflows of 9.9 billion dollars, up from 7.7 billion a year earlier, and helped narrow the overall balance-of-payments deficit by 2.9 percent to 1.8 billion dollars. It did so even as foreign investors pulled a net 4.4 billion dollars from Egyptian portfolio assets over the period, an outflow the central bank attributed to regional tensions.
Why it matters: Foreign direct investment is the kind of long-term, non-debt money Egypt most wants, and a double-digit rise signals that investors are still committing to factories, property and services even as short-term money leaves. It strengthens the case that Egypt’s external position is stabilising on durable inflows rather than borrowing, easing pressure on the pound and on reserves that the government has spent two years working to rebuild. The composition still leans on a few large deals, though, with much of the greenfield total tied to the single Alam El-Roum payment, so the figures show stronger direct investment more than a fully broad-based expansion.
Outlook: The markers are whether FDI momentum holds into the fourth quarter and the next fiscal year, and whether the non-oil inflows broaden beyond a few large real-estate deals into manufacturing and services. Sustained direct investment would give Egypt a steadier cushion against the portfolio swings that still buffet its markets.
Sources: Central Bank of Egypt; Ahram Online.
