Country Insight: Egypt
The Egyptian economic recovery is struggling to gain traction following a robust performance in 2020. We expect the economy to expand by just over 3% in 2021, with a softening in consumer demand following a remarkable, policy-induced performance over the past two years. However, Egypt is still host to some of the continent’s brightest consumer spending hotspots and has seen an improvement in its investment environment due to favourable reforms.
What you will learn from this report:
- Cairo is by far Africa’s largest city consumer market while Mahalla el-Kubra is estimated to have the highest spending per capita in North Africa.
- While we expect tourism spending to increase by around 46% this year, the sector is only expected to recover to 2019 levels by 2024.
- Political rights issues will not materially affect Egypt’s relationship with major Western partners as Cairo remains a major purchaser of arms from these countries.
Tags:
Related Services
Post
Firms must brace for higher ‘new normal’ construction material prices
New research by Oxford Economics suggests that construction materials prices have shifted permanently higher due to the shocks of the past couple of years. Project managers and investors should anticipate costs being at least 15-20% higher in 2024 and onwards than in 2021.
Find Out More
Post
New Activity Trackers suggest momentum is waning
After a choppy first quarter of GDP data, our novel Activity Trackers (which incorporate proprietary daily sentiment data from Penta) suggest that economic momentum in EM Asia is on a softer trend in Q2 (at least outside of China) supporting our view of easing underlying inflationary pressures and diminishing appetite for further rate hikes.
Find Out More