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Egypt

A populous MENA nation (~113M) plus the Suez Canal hub: Africa’s largest manufacturing base, low cost, English/Arabic bilingual. A production and re-export base connecting Africa/Middle East/Europe.

Best for: Manufacturing (autos/steel/textiles), Suez Canal Economic Zone logistics, oil & gas, construction/infrastructure, tourism, agriculture.

Employer load
+15.4%
over the wage
Population
~112.7 million
market size
GDP/capita
~US$3,574
purchasing power
Before you enter, get this right

Low cost + bilingual talent + a large population, but currency depreciation is the hidden risk — foreign firms often anchor pay to USD to hedge it; that’s a key financial setup for entering Egypt.

Market overview · how big the opportunity

GDP / growth
~US$383B (2024)
Growth
Volatile on FX/canal revenue, supported by manufacturing & infrastructure
FDI
~US$46.1B in 2024 (Africa’s #1, incl. the US$35B Ras El Hekma deal)
Investment hubs
Cairo (HQ/manufacturing) · Suez Canal Economic Zone SCZONE (logistics/export) · Alexandria (port/industry)

Source: Wikipedia / Invest in Egypt (2024)

Business environment · what wins, what to watch

Open to foreign investment; the Suez Canal Economic Zone (SCZONE) offers tax/customs incentives for export manufacturing; after devaluation, USD-denominated costs are lower.

Strengths
  • Africa’s largest manufacturing base (~22% of the continent’s manufacturing)
  • Suez Canal hub connecting Asia/Europe/Africa
  • 113M population + low cost, English/Arabic bilingual
  • SCZONE export-processing and logistics incentives
Challenges / notes
  • Pound devaluation, FX and inflation pressure
  • Bureaucratic and slow approvals
  • Subsidies/price controls and policy shifts
  • Regional geopolitics and canal-revenue volatility

Industry opportunities

  • Manufacturing
    Autos/steel/textiles, Africa’s largest manufacturing
  • Suez Canal Economic Zone logistics
    ~12% of global trade transits
  • Oil & gas
    Over a fifth of GDP
  • Construction / infrastructure
    New-capital and other megaprojects
  • Tourism / agriculture
    ~US$15.3B tourism revenue; cotton etc.

Labor cost (summary) · what one hire costs

Employer monthly cost over wage+15.4%
Local minimum wagePrivate EGP 7,000/mo (current 2026; public-sector 8k N/A to private)

Private-sector minimum wage EGP 7,000/month (Mar 2025); employer social insurance 18.75% (contribution base capped at EGP 14,500, so the effective load is lower at higher wages). Full breakdown in the hiring guide.

Getting started · first steps

  • 1.Site: SCZONE Suez Canal Economic Zone (export manufacturing/logistics) · Cairo (HQ) · Alexandria (port)
  • 2.Entity: limited liability company; export manufacturing locates in SCZONE for incentives
  • 3.Hiring: ample low-cost, English/Arabic bilingual labor; arbitrary-dismissal compensation is high — stay compliant

Still choosing? Compare Egypt with other markets; once you decide, start by hiring.