In February 2025, growth spiked to 19.9% as annual inflation dropped by 10 percentage points, before slowing to 7.03% in June, up sharply from just 2.24% in June 2024.
By:
Wed, Oct. 1, 2025
Egypt’s investment landscape witnessed a major shift in FY2024/2025, with private investment surpassing public investment for the first time in five years, according to data released by the Ministry of Planning, Economic Development, and International Cooperation.
Minister Rania Al-Mashat announced that private investment accounted for 47.5% of total executed investments, its highest share in five years, while public investment dropped to 43.3%.
Public investment fell from EGP 627.5 billion in FY2023/2024 to EGP 526.6 billion in FY2024/2025, whereas private investment rose from EGP 474.7 billion to EGP 590.7 billion.
Al-Mashat said the decline in public investment reflects the state’s policy of “opening space for the private sector” and the effectiveness of reform measures aimed at easing pressure on the state budget.
She added that the government is prioritizing projects of national importance while enabling the private sector to drive sustainable growth and competitiveness.
The shift comes alongside a recovery in real credit growth to the private business sector. In February 2025, growth spiked to 19.9% as annual inflation dropped by 10 percentage points, before slowing to 7.03% in June, up sharply from just 2.24% in June 2024.
Private sector credit is expected to accelerate further this year, supported by ongoing monetary easing.
Official figures also show that in February 2025, 43.22% of credit facilities extended to the private sector were directed to industry, underlining government efforts to support export-oriented sectors.
Looking ahead, Egypt's Narrative for Economic Development aims to increase the share of private investment to 66% of total investment by 2030, compared to 60% in the current fiscal year’s plan.
“The private sector is the government’s strategic partner in implementing the National Economic Narrative, translating policies and plans into projects, investments, and jobs,” Al-Mashat said, stressing its role in ensuring inclusive growth and improving citizens’ living standards.
The Ministry noted that the new investment structure reflects progress toward Egypt’s broader economic strategy: shifting to a growth model centered on productive, export-driven sectors while leveraging the country’s advanced infrastructure and redefining the role of the state in the economy.