Egypt to boost manufacturing sector by LE 100.7B in FY23/24

CAIRO – 10 December 2023: During the fiscal year 2023/2024 (FY23/24), Egypt sets a plan to support the manufacturing sector by investments amounted to LE 100.7 billion, marking a 19.6 percent increase compared to the expected investments in FY2022/2023, according to a report issued by the Ministry of Planning and Economic Development.

The distribution of investments is projected as follows: non-petroleum manufacturing industries are anticipated to receive approximately LE 79 billion, while petroleum industries will receive around LE 22 billion.

The manufacturing sector holds the top position in terms of contributing to the gross domestic product (GDP), accounting for at least 16 percent. Furthermore, it is responsible for over 85 percent of Egypt's total non-oil merchandise exports, amounting to approximately $25.9 billion in FY2021/2022, according to Hala El-Said, the Minister of Planning and Economic Development.

In terms of production targets at current prices, the report outlines an objective to enhance industrial production to reach LE 4.3 trillion in FY 2023/2024, up from LE 3.6 trillion in FY2022/2023, demonstrating a growth rate of more than 19 percent.

Looking ahead, the plan envisions industrial production to reach LE 5.74 trillion by the conclusion of the 2025/2026 period, reflecting a 15 percent growth compared to the previous year's production.

Additionally, the report indicates that the total industrial production at constant prices is projected to exceed LE 3 trillion in 2023/2024, further rising to LE 3.23 trillion in 2025/2026.

To achieve these objectives, the plan sets a target of reaching an industrial output of LE 2.46 trillion by the conclusion of the 2025/2026 period, surpassing the recorded LE 1.83 trillion in 2024/2025. Moreover, efforts are focused on enhancing the real output of the industrial sector to LE 1.37 trillion, an increase from the LE 1.29 trillion achieved in 2023/2024.