Egypt Targets Up to 6 Percent Growth After Leading Africa in FDI for a Fourth Year
Egypt attracted 15.5 billion dollars of foreign direct investment in 2025 and led Africa for the fourth consecutive year, Investment and Foreign Trade Minister Mohamed Farid told 57 correspondents from 27 international and Arab media outlets in Cairo on Saturday, at a meeting organized by the State Information Service. He said growth had risen to 5.1 percent from 4.4 percent and that the government targets 5.5 to 6 percent. His agenda, framed as moving from strategy to implementation, rests on 4 pillars: easing business activity, localizing development and supporting small firms, targeted promotion of investment opportunities, and reducing investment risk while mobilizing capital.
Measures in the pipeline
| Measure | Detail | Status |
|---|---|---|
| Capital Increase Procedures Platform | Capital increase procedures | Testing, launch within weeks |
| Economic Entities Platform | To connect 92 government entities, around 486 licenses | Planned |
| Companies Law 159 of 1981 regulations | M&A, valuations, financing tools, dispute committees | Amendments |
| Sovereign fund stakes | Minority stakes of 10% to 20% in some cases | Under consideration |
| Industrial Investment Fund | 3 to 4 opportunities under review | Board being finalized |
| FDI strategy | About 16 priority sectors | Upcoming |
| Investment map | Nearly 1,330 opportunities | Updated |
The minister said the Sovereign Fund of Egypt and its subfunds could take minority stakes of 10 to 20 percent in some cases, rather than take over management from the private sector. He also outlined a regulatory lab for trade to test new solutions and boost exports, together with risk based inspection and faster customs clearance.
How the numbers compare
UNCTAD’s World Investment Report 2026 put Egypt’s 2025 inflows at about 15 billion dollars, the largest in Africa, while inflows to the continent as a whole fell to about 70 billion dollars from 94 billion. On those rounded figures Egypt took about 21.4 percent of Africa’s total, on our calculation. On a fiscal year basis, the Central Bank of Egypt recorded net foreign direct investment inflows of 13.0 billion dollars in July to March 2025/2026, including 3.5 billion dollars from the Alam El-Roum deal. That deal was 26.9 percent of the total, leaving 9.5 billion dollars from other sources, on our calculation.
Why it matters: Egypt’s growth plan leans on private investment. Minority sovereign stakes, faster licensing and a targeted map of sectors and opportunities are meant to widen the pipeline beyond one-off landmark deals.
Outlook: Watch for the launch of the capital increase platform, the announcement of the FDI strategy, and the central bank’s full year 2025/2026 balance of payments.
Sources: State Information Service, UNCTAD, Central Bank of Egypt.
