Egypt Tops Africa in Private Foreign Investment for Fifth Year

Egypt remained Africa’s largest recipient of private foreign investment for the fifth consecutive year, according to Finance Minister Ahmed Kouchouk, who linked investor activity to improving macroeconomic conditions and policy reforms.

Speaking at a conference organised by the Egyptian–African Businessmen’s Association in cooperation with e-Tax, Kouchouk pointed to a 73% rise in private investment during the 2024/2025 fiscal year. The increase coincided with stronger economic growth, easing inflation and improved foreign direct investment flows. Foreign exchange reserves exceeded $50 billion over the same period, while the fiscal year recorded a primary surplus equivalent to 3.5% of GDP.

The figures reflect a broader response from domestic and foreign private investors, with private sector–led activity positioned as central to sustaining growth. Expanding productive capacity, boosting exports and widening the tax base are being framed as key levers to create fiscal space and reduce public debt over time.

Tax administration reforms are also underway, with procedures being simplified under a partnership-based approach with businesses. Facilitation measures contributed to an estimated 35% increase in tax revenues, achieved without introducing new financial burdens on the business community.

Recent indicators show economic growth reaching 5.3% in the first quarter, alongside a 40% increase in private investment and higher industrial output and exports. Digitalisation efforts are being directed toward improving service delivery for businesses and citizens, supported by clearer communication with taxpayers and investors.

Looking ahead, Egypt has signalled readiness to share its experience with African partners, while ongoing coordination with the Ministry of Investment focuses on reducing customs clearance times, lowering trade costs and supporting local manufacturing to sustain competitiveness and investment inflows.