Egypt remains Africa’s top investment destination in 2023 for second consecutive year: UNCTAD

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Egypt - A recent report by the United Nations Conference on Trade and Development (UNCTAD) has once again recognized Egypt as the leading investment destination in Africa for 2023. Despite global economic challenges, Egypt’s unwavering commitment to adaptability and resilience has solidified its position.

To enhance investment attractiveness, Egypt has implemented various reforms and measures. These include legislative and institutional changes, as well as financial and monetary policies aimed at achieving balanced and sustainable growth rates. The private sector plays a pivotal role in Egypt’s structural reform program, contributing to its transformation into a productive economy.

Key highlights from the report:

FDI Share: Egypt accounted for 18.6% of Africa’s total foreign direct investment (FDI) in 2023, with investments reaching $52.6bn.
Green Projects: The Suez Canal Economic Zone secured agreements for green ammonia and green hydrogen projects worth a combined $10.8bn. Additionally, investors announced a $4bn deal for green hydrogen production in Egypt.
Sector Diversification: Multinational companies in the automotive, pharmaceutical, and electronics sectors have increasingly chosen Egypt as an investment hub.
Streamlined Process: In 2023, Egypt introduced a one-stop-shop system for investment projects, simplifying licensing and permitting procedures.
Supreme Council for Investment: Established in 2023 and chaired by the President, this council enhances coordination and effectiveness in investment promotion activities.
Global Ranking: Egypt’s FDI ranking improved, positioning it 32nd globally in 2023, up from 34th in 2022.
Regional Flows: Other African countries receiving significant FDI include South Africa, Ethiopia, Uganda, Senegal, Mozambique, and Namibia.
Challenges: Some countries received less FDI, including Niger, Liberia, Chad, and others.