Egypt’s construction sector expanded by 20 % over the past year, drawing in EGP 56 billion (over $1 billion) in new investments and reflecting growing investor confidence, according to Hossam Heiba, CEO of the General Authority for Investment and Free Zones (GAFI).

Speaking at the third edition of The Investor – Real Estate Conference on Tuesday, Heiba confirmed that Egypt had finalized one of its largest-ever foreign investment deals through the Ras El Hekma development, valued at more than $35.7 billion.

 He explained that government reforms, including the integration of the housing sector under the Investment Law, have been instrumental in driving growth, with new incentives allowing up to 20 % foreign labor, residency permits for expatriates, tax exemptions, and a reduced two percent customs duty on imported equipment for real estate projects.

Heiba noted that global institutions have recognized this momentum, citing a Fitch report that praised Egypt’s real estate sector for its clear strengths and tangible growth, supported by infrastructure upgrades, stronger macroeconomic performance, and easing inflation.

 At the same time, he acknowledged persistent challenges such as delays in passing the long-awaited Real Estate Development Law, emphasizing that GAFI is working closely with stakeholders to secure legislative stability and reinforce the sector’s role in national development.

 Adding to these efforts, Egypt launched in February the region’s first official real estate marketplace using Multiple Listing Service (MLS) technology, giving companies access to more than two million professionals and creating new opportunities for investment, visibility, and wider economic impact.