The Ministry of Planning and Economic Development announced the basic guidelines for the economic and social development plan for the fiscal year 2025/2026, which began officially last July. The move comes at a time when the Egyptian state is seeking to advance its development path in light of increasing regional and international challenges affecting the global economy.
The main pillars of the strategic vision for future plans include the development of a medium-term framework covering the period 2025/2026 to 2028/2029, which contributes to making the timing of the implementation of the plan clearer and achieving better coordination between the Ministry of Planning and the Ministry of Finance.
The plan also adopts a participatory methodology in accordance with the Planning Law No. 18 of 2022, taking advantage of modern planning tools aimed at enhancing the efficiency of public investment and tracking international financial flows. The plan includes improving the quality of projects by setting precise criteria for project selection and feasibility study.
The plan’s priorities are based on the continued implementation of the structural reform program, which consists of three main axes: enhancing macroeconomic stability, improving the business environment to increase private sector participation, and supporting the transition to a more sustainable economy. All these tracks aim to push the Egyptian economy towards sustainable growth and increased competitiveness.
The document also mentions the importance of rationalizing public spending, so that resources are directed to strategic sectors such as agriculture, industry and information technology, with a focus on improving the level of health and education services. This strategy aims to reduce development gaps between different governorates.
This planning foresees an economic growth rate of 4.5% in FY 2025/2026. Based on this growth, GDP is expected to reach EGP 9.1 trillion at fixed prices and EGP 20.4 trillion at current prices, a marked increase over last year.
In terms of investments, the plan aims to attract EGP 3.5 trillion for new projects, reflecting a strong belief in the role of investment in driving growth. Private investments are expected to exceed EGP 1.94 trillion, contributing about 63% of the total, while stressing the importance of governance and transparency rules.
The plan also allocates EGP 1.16 trillion in public investment, a significant increase compared to the expected proportions of previous years. This reflects the state’s commitment to effectively channel resources, reduce debt burdens, and allow the private sector to participate in development efforts.
