Egypt is entering a new phase of its economic reform agenda with the launch of the National Narrative for Economic Development, a strategic framework that aims to align the country’s Vision 2030 with current government programs, structural reforms, and long-term development priorities. The initiative, led by Minister of Planning, Economic Development, and International Cooperation Dr. Rania Al-Mashat, comes at a time when Egypt is seeking to enhance economic resilience, improve productivity, and broaden private sector participation.
The new narrative was unveiled earlier this month under the patronage of Prime Minister Dr. Mostafa Madbouly and is currently undergoing a nationwide dialogue. During a recent roundtable with editors-in-chief, journalists, and commentators, Dr. Al-Mashat emphasized that the framework represents a unified platform for policy action, addressing both macroeconomic stability and sector-specific transformation.
The National Narrative consolidates multiple economic strategies under a single umbrella. It integrates Egypt Vision 2030, the government’s medium-term action plan, and a host of sectoral strategies—such as those for industrial development, foreign direct investment, employment generation, entrepreneurship, and digital economy growth. This integration also reflects recent legal reforms, particularly Egypt’s Unified Planning Law and Unified Public Finance Law, both of which now require the state to prepare three-year medium-term plans and budgets, beginning with the FY 2026/2027 cycle.
At the heart of the narrative is a significant policy shift toward empowering the private sector. The latest data from the Ministry shows that private investment now accounts for 62.8% of total investment, as of the third quarter of fiscal year 2024/2025. This milestone signals Egypt’s transition away from a state-led investment model and toward a more market-oriented approach. The increase in private sector share was accompanied by a 24% rise in private investment activity, while public investment contracted during the same period.
Despite challenges such as declining revenues from the Suez Canal—due to ongoing geopolitical tensions—and contraction in oil and extractive industries, Egypt’s economy has demonstrated resilience. Growth has been largely driven by robust performance in key sectors including non-oil manufacturing, agriculture, tourism, information and communications technology (ICT), and wholesale and retail trade. These sectors have emerged as central pillars in Egypt’s structural transformation strategy, thanks to their higher productivity potential and ability to create sustainable employment.
The National Narrative also serves as a reform instrument and a promotional tool to attract investment and communicate Egypt’s economic vision. It focuses on strengthening the real economy through targeted policies that enhance value-added production, support industrial localization, and boost export capabilities. These priorities are backed by the government’s ongoing efforts to ensure macroeconomic stability—considered a prerequisite for sustained growth.
Institutionally, the narrative draws legitimacy from a robust legal and policy architecture. The Unified Planning and Finance laws create a framework for performance-based planning, institutional accountability, and medium-term expenditure forecasting. The Ministry has built the narrative around clearly defined quantitative targets, structured around three core scenarios: a baseline forecast, an accelerated reform path, and a conservative scenario designed to absorb global uncertainty.
As part of Egypt’s broader development strategy, the narrative outlines a recalibration of the state’s role in the economy. The state is shifting from being an operator to acting as a regulator, facilitator, and strategic partner. The State Ownership Policy Document, in conjunction with the Sovereign Fund of Egypt and the newly established State-Owned Enterprises Unit, lays the groundwork for this transition. The framework outlines clear criteria for sectors where the state will retain strategic control and sectors where private sector leadership will be prioritized—either through full or partial exit, or partnership models.
The initiative further builds on Egypt’s growing profile as a regional platform for development financing. Since 2020, Egypt has mobilized over $16 billion in concessional development finance through international partnerships. A key achievement includes the agreement with the European Union, which unlocked €1.8 billion in investment guarantees, facilitating up to €5 billion in public and private investments. These instruments have positioned Egypt as a leader in blended finance, channeling capital into sectors such as green energy, digital infrastructure, and human development.
The narrative also benefits from Egypt’s improved standing on the global Economic Complexity Index (ECI), where it now ranks 5th among 145 countries, signaling its readiness to diversify exports and invest in high-value sectors. Egypt is also among the top-performing middle-income countries on the Green Complexity Index, reinforcing its potential to transition into sustainable, high-productivity industries.
In terms of infrastructure, the narrative highlights Egypt’s strategic advantages: a diversified economy, a large consumer market, a prime geographical location, and major logistical assets such as the Suez Canal and its adjacent economic zone. These assets, combined with improved regulatory and financial frameworks, aim to enhance Egypt’s attractiveness as a global investment destination.
Looking ahead, the Ministry will continue to engage stakeholders through a two-month national consultation period, during which experts, civil society, and the public are invited to submit feedback on the framework’s five core chapters. The final version will also incorporate outcomes from the 2025 International Conference on Population, Health, and Development, ensuring that human capital and social protection remain integral to the country’s development model.
With a clear structure, measurable targets, and strong institutional support, the National Narrative sets the stage for the next phase of Egypt’s reform journey.
