Egyptian Minister of Planning and Economic Development, Ahmed Rustom, recently participated in the African Automotive Investment Forum, held as part of the first edition of the El Alamein - Africa 2026 forum. The event saw high-level government participation, including Foreign Minister Badr Abdelatty, Investment and Foreign Trade Minister Mohamed Fared, and Industry Minister Khaled Hashem. Around 1500 business leaders and African investors attended the forum, which was co-organized with the African Export-Import Bank (Afreximbank).
During the forum, Rustom showcased positive indicators for the industrial sector, highlighting a significant improvement in the performance of productive sectors. He revealed that the automotive industry experienced exceptional growth, surging by 50% during the first quarter of the 2025/2026 fiscal year. This growth is part of a strong and comprehensive expansion in non-oil manufacturing industries, reflecting the positive impact of structural reforms in supporting the productive base and creating an attractive investment environment in the automotive sector.
Rustom emphasized that this growth aligns with the government's commitment to implementing an economic reform program focused on enhancing competitiveness, expanding the private sector's role in the economy, and directing support to high-value-added sectors with export potential. The program aims to transform Egypt into a regional hub for the automotive industry and exports in Africa. The minister also highlighted that the overall growth trajectory is improving, with the GDP growth rate reaching 5.1% in the 2025/2026 fiscal year, up from 4.4% in the previous year.
The minister attributed this recovery to the strong performance of productive sectors, including industry, communications, and trade, which collectively contributed around 48% to the total growth achieved. He stressed that the government's integrated efforts are underway to update legislative and regulatory frameworks, improve the business climate, and enhance the quality of foreign direct investments. These initiatives aim to achieve the desired integration between public and private investments, supporting Egypt's transformation into a leading regional center for the automotive industry.
The African Automotive Investment Forum provided a platform for stakeholders to discuss investment opportunities in the African automotive sector. The forum's organization in collaboration with Afreximbank underscores the importance of partnerships in driving growth and development in the region. Egypt's participation in such events reflects its commitment to fostering cooperation and investment with African nations.
Minister Rustom's presentation highlighted the potential for growth and investment in Egypt's automotive sector. The government's focus on structural reforms and improving the business environment is expected to attract more foreign investment and stimulate domestic growth. The 50% growth in the automotive industry during the first quarter of the 2025/2026 fiscal year demonstrates the sector's potential for expansion and its contribution to Egypt's overall economic growth.
The Egyptian government's efforts to promote investment and growth in the automotive sector are part of a broader strategy to enhance the country's economic competitiveness. By leveraging partnerships and implementing structural reforms, Egypt aims to establish itself as a regional hub for the automotive industry and increase its exports to African markets.
Key points
- Egypt's automotive industry grew by 50% in the first quarter of the 2025/2026 fiscal year.
- The industrial sector, along with communications and trade, contributed 48% to Egypt's GDP growth.
- The Egyptian government is implementing structural reforms to improve the business climate and attract foreign investment.
