$50bn Investment Drives Robust Growth in Construction and Tourism for Egypt
Egypt: Construction industry in Egypt is expected to grow at a CAGR of over 8% until 2029, driven by increased government spending, public-private partnerships, and investments in residential and mixed-use sectors, according to a JLL report. The country accounts for 515bn USD or 12% of the MENA region’s unawarded project pipeline, with residential projects valued at 36bn USD and mixed-use projects at 115bn USD. In Q1 2024, Cairo's residential sector added over 7,000 units, with 24,000 more expected throughout the year. Average sale and rental prices in areas like 6th October and New Cairo surged significantly. The tourism sector is also set to expand with a new 1bn USD initiative to increase hotel capacity by 250,000 rooms by 2028, aiming to attract 30 million visitors in four years. Despite currency volatility and inflation, increased foreign direct investment commitments and strategic government reforms are boosting investor confidence. Notably, a 35bn USD deal with the UAE to develop the Mediterranean coast and additional financing from international organizations are pivotal to economic growth in Egypt.
Source: MSN