tldr
Egypt’s economy rose 4.3% year-on-year in the fourth quarter of 2024. The fastest pace since the third quarter of 2022 has grown after the acceleration has been supported by pivots towards exports, boosting foreign inflows and domestic production, and Egypt faced years of pressure from rising inflation, a currency crisis and rejection of foreign resistance.
Egypt’s economy rose 4.3% year-on-year in the fourth quarter of 2024. This is the fastest pace since the third quarter of 2022. This figure shows a sharp rebound from the 2.3% growth recorded in the same quarter the previous year.
The acceleration was supported by increased foreign influx and pivots towards promoting domestic production and exports. The government said recent economic reforms and support from international partners have played a key role in stabilizing macroeconomic conditions and unlocking investments.
Egypt comes after years of pressure from rising inflation, a currency crisis and decline in foreign reserves. The challenges remain, but authorities are currently targeting improved growth momentum towards 2025.
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Key takeout
Egypt’s recovery follows a series of moves to restore investor confidence. In 2024, the country secured a multi-billion dollar support package from the Gulf Allies, the IMF and the EU, putting pressure on reserves and currencies. Central banks also moved towards a more flexible exchange rate regime, attracting new capital and improving access to hard currencies. Industry such as manufacturing and exports gained traction as the government highlighted import substitutions and local value chains. Egypt has also approved key energy, logistics and infrastructure investments aimed at boosting employment and reducing trade deficits. Inflation continued to rise and debt levels were high, while fourth quarter growth signal broke momentum. The government covers 5% GDP growth in fiscal 2025. Sustainable improvement depends on continuous reform implementation, political stability, and global commodity trends.
