Egyptian Planning Minister Dr. Ahmed Rustom recently met with a high-level delegation from Fitch Ratings to discuss the country's economic performance and ongoing reform efforts. The meeting focused on the latest economic indicators and the government's strategies to continue its economic and structural reform program. This comes at a time when Egypt faces significant geopolitical and regional challenges. The discussions highlighted Egypt's economic resilience and growth prospects.
During the meeting, Dr. Rustom revealed that Egypt's economy achieved a growth rate of 5.1% in the 2025/2026 fiscal year, up from 4.4% in the previous year. This recovery was driven by strong growth in productive and service sectors, particularly in non-oil manufacturing and communications. The minister emphasized the importance of these sectors in driving economic growth and job creation.
The minister specifically highlighted the transportation and logistics sector's ability to withstand challenges, citing the continued growth in Suez Canal revenues and activity despite disruptions in regional shipping. This, he noted, demonstrates Egypt's economic resilience and capacity to cope with external shocks. The Suez Canal remains a critical component of Egypt's economy, providing a significant source of revenue.
Dr. Rustom also reviewed positive developments in key economic indicators. He noted that government policies have helped put inflation on a sustainable downward path, reaching 12.7% in August 2026. Additionally, unemployment rates declined to 5.8% in the second quarter of 2026, indicating a strong labor market and the economy's ability to create jobs. These trends suggest a positive outlook for Egypt's economic future.
The minister reaffirmed the government's commitment to implementing its economic and structural reform program to enhance competitiveness. This includes measures to create an attractive investment environment for both local and foreign private sectors, with a focus on export-oriented and labor-intensive sectors. The goal is to ensure that economic growth and development translate into improved living standards for Egyptian citizens.
Dr. Rustom emphasized that the ultimate objective of these reforms is not only to improve financial indicators but also to ensure that economic growth benefits Egyptian citizens and enhances the quality of services provided to them. The government aims to create a more favorable business environment, encouraging investment and job creation. This approach is expected to have a positive impact on the economy and society.
Looking ahead, Dr. Rustom expressed optimism about Egypt's economic prospects, forecasting a growth rate of 5.2-5.4% in the current fiscal year. This projection is based on expected private sector investment growth and positive developments in promising economic sectors. The government's reform efforts and investment in key sectors are expected to drive sustainable economic growth and improve living standards for Egyptians.
Key points
- Egypt's economy achieved a growth rate of 5.1% in the 2025/2026 fiscal year.
- The government remains committed to its economic and structural reform program to enhance competitiveness.
- Egypt's Planning Minister expects a growth rate of 5.2-5.4% in the current fiscal year.
