The industrial sector, particularly manufacturing industries, plays a central role in Egypt’s economy and has demonstrated a strong contribution to the country’s economic development. In this context, the government has been actively pursuing policies to increase production capacity, improve efficiency, and enhance the sector’s competitiveness. These efforts aim to boost self-sufficiency in manufactured goods, expand industrial exports, and ultimately help reduce the trade deficit.

This factsheet takes a closer look at the role of the industrial sector in the Egyptian economy and examines the government’s future outlook and plans for its development.

• By the end of 2025, an estimated 72 million Egyptians were employed in the industrial sector, accounting for 14.43% of Egypt’s total employment. Notably, the average daily wages in the sector reached EGP 226.3.
• In fiscal year (FY) 2024/25, the industrial sector’s gross domestic product (GDP) grew on an annual basis by 2% to EGP 2.63 trillion. Around 80% of the industrial GDP came from non-oil manufacturing industries, while refining activities made up the 20%. Overall, the industrial output represented 15% of Egypt’s total GDP.
• The Egyptian government targets increasing industrial output to EGP 2.9 trillion in the current FY, which reflects an expected annual growth rate of 12%.
• In FY 2024/25, implemented investments reached EGP 99.5 billion, with 65.6% directed toward non-oil industries, with the remaining toward refining industries. The private sector accounted for 83% of total implemented investments. These investments are planned to surge by 154.1% to reach EGP 252.8 billion.
• The non-oil industrial sector is an attractive sector for foreign direct investments (FDI). In FY 2024/25, the sector successfully attracted FDI inflows of $4.43 billion, representing 19% of Egypt’s total FDI inflows. However, inflows have slightly fallen by 2.5%, compared to FY 2023/24.
• In FY 2022/23, Egypt exported $28.4 billion worth of non-oil manufactured products, including $19.6 billion in finished goods and $8.8 billion in semi-finished products. Non-oil industrial exports in FY 2024/25 accounted for 71% of Egypt’s total exports, increasing by 29% YoY.
• In early 2023, the Egyptian government launched a five-year initiative to support the productive sectors, namely agricultural and industrial. The initiative includes reducing the interest rates on loans provided for these sectors, with loans estimated at EGP 150 billion.
• The government has set an ambitious plan for 2030, aiming to increase the sector’s economic contribution to around 19% of GDP.

By: Amina Hussein