This week from our Research and Development department!
Egypt’s economic growth is heavily dependent on the real estate sector’s performance and development; this is a critical relationship that remains misunderstood or unknown today so here are some facts that can clarify and explain why the real estate sector is so important in Egypt.
The real estate sector in Egypt has been the backbone of the Egyptian economy despite all political and economic setbacks, responsible for approximately 8% of the country’s GDP in 2013.
The real estate industry has consistently grown and contributed to the economy, contributing 15% of the GDP in the first half of 2017 alone.
The real estate industry constantly absorbs upwards of 15% of employment and continues to grow, expected to reach 20% by 2019.
The real estate sector also develops and uses 90 other industries related to development and construction, most of which are locally sourced, therefore also contributing to economic growth and development.
The construction and development sectors currently make up 20% of the national GDP.
The sector has grown by approximately 30% in recent years but is projected to grow 70% by 2020; bringing an estimated total value of investments to $12 billion in 2020.