The government is also working with local and international partners to build an integrated labour market information system that provides accurate data, supports policymaking and helps anticipate future jobs.
Egypt is moving to strengthen its partnership with the private sector by establishing and activating sectoral skills councils, Planning and Economic Development Minister Ahmed Rostom said.
The councils will give employers a central role in identifying training needs and developing curricula and education systems. The government is also working with local and international partners to build an integrated labour market information system that provides accurate data, supports policymaking and helps anticipate future jobs.
The remarks were delivered on Rostom’s behalf by Mona Essam, Assistant Minister for Sustainable Development Affairs, during the National Planning Institute’s 10th Annual International Conference, held under the theme “Labour Market and Sustainable Development” with the participation of experts and policymakers.
Rostom described the labour market as a key driver of sustainable development, stressing that economic growth cannot achieve its full impact unless it directly contributes to higher employment and improved income and living standards.
Citing international and regional labour market indicators for 2025, he said the global unemployment rate stood at 4.9%, compared with 9.9% in North Africa and 9.5% across Arab countries.
Youth unemployment among people aged 15 to 24 was significantly higher, reaching 12.4% globally, 22.6% in North Africa and 26.2% across Arab countries.
These figures highlight the scale of the challenge facing these economies, particularly the need to promote job-rich economic growth while narrowing the gap between education outcomes and the rapidly evolving demands of the labour market, he added.
Egypt’s labour market has recorded a notable improvement in several indicators in recent years. The unemployment rate declined from more than 13% in 2013 to 6.3% in 2025, before falling further to 5.8% in the second quarter of 2026.
Meanwhile, the labour force expanded to approximately 35.6 million people, including around 33.6 million employed individuals.
Rostom said the figures demonstrate the economy’s capacity to absorb new entrants into the workforce. However, the challenge is no longer limited to creating jobs in numerical terms, but now centres on improving job quality, raising productivity and aligning skills with the modern needs of productive sectors.
He also highlighted domestic challenges, particularly the need to increase women’s participation in economic activity. Female unemployment stood at 14.4% in the second quarter of 2026, compared with 3.4% among men.
Rapid technological development, the growing adoption of artificial intelligence and the requirements of the green transition are reshaping the nature of jobs and the skills they require, Rostom said.
He stressed that the next phase must focus not only on creating more jobs, but also on building a more adaptable labour market that is closely aligned with the economy’s needs and capable of providing productive and decent employment.
