CAIRO - 13 October 2022: The Egyptian government expects the growth domestic product (GDP) to grow by 5.5 percent in the 2022-2023 fiscal year, after it recently slashed its GDP forecast by 0.2 percentage points given recent global developments, according to the Minister of Planning and Economic Development, Hala El-Said.
This came during El-Said’s participation in the Atlantic Council’s dialogue on opportunities and challenges for the Egyptian economy until 2023 and beyond, held on 12-13 October 2022, and which comes as part of a series of dialogues on the annual meetings of the International Monetary Fund and the World Bank, which bring together Economy and Finance Ministers from around the world to discuss their economic forecasts for 2023.
The minister added that the Egyptian economy grew by 6.6 percent in the 2022/2021 fiscal year, compared to 3.3 percent in the previous year, as the economy grew faster than the government had expected, initially projecting 6 percent-6.2 percent.
She explained that the GDP growth figures were higher than the expectations of the International Monetary Fund at 5.9 percent. This represents the highest growth rate since 2008, adding that this growth was driven by the main sectors, led by the telecommunications sector by 16.3 percent, the Suez Canal by 11.7 percent, manufacturing by 9.9 percent, in addition to the recovery of the tourism sector, recording the highest sectoral growth rate by 45.5 percent on an annual basis in the fiscal year 21/22, and the construction, health and education sectors recorded a clear growth.
El-Said pointed out that the unemployment rate stabilized at 7.2 percent during the last quarter of 2022/2021, with a slight decrease in female unemployment from 17.7 percent to 17.5 percent, and foreign direct investment doubled to reach $11.4 billion in 2021/22 compared to $5.2 billion in 2021.
She noted that Egypt's ranking jumped 19 places in the Human Development Report from 116 in the report last year to 97th place in the fiscal year 22/21, in addition to achieving a 53 percent increase in total exports in 2021/2022 and a 20 percent increase in non-oil exports, compared to the targeted 15 percent.