Egypt’s Minister of Planning, Dr. Rania Al-Mashat, participated in the “Regional Economic Outlook for 2025” session at the 2025 World Governments Summit in Dubai. The summit, held under the theme “Shaping the Future Governments,” brought together leaders from various countries and international organizations to discuss global and regional economic trends.
During the session, Dr. Al-Mashat forecasted a 4% growth for Egypt’s economy in the current fiscal year, attributing this positive outlook to the government’s recent fiscal and monetary measures, as well as the ongoing structural reforms aimed at strengthening the resilience of the Egyptian economy and its ability to withstand future shocks.
The session was attended by notable speakers, including Dr. Mohammed Tamim, Deputy Prime Minister and Minister of Planning of Iraq, and Dr. Jihad Azour, Director of the Middle East and Central Asia Department at the International Monetary Fund (IMF). The discussion, moderated by Emma Graham of CNBC, brought together key ministers of economy and finance from across the Middle East and North Africa to analyze economic predictions for the region.
Dr. Al-Mashat emphasized that macroeconomic stability alone is insufficient without continued structural reforms that stimulate the business environment, enhance competitiveness, and encourage greater participation from the private sector. She explained that the government had undertaken multiple measures to enhance the flexibility of Egypt’s economy, with a strong focus on fostering international and regional partnerships to achieve sustainable development and attract investment.
The Minister highlighted that Egypt focused on transforming its economy into one that is more adaptable to external challenges. At the heart of this transformation are the priorities of industrial localization, human capital development, and empowering entrepreneurs to create jobs and ensure sustainable growth. In this context, Egypt continues to introduce legislative and financial reforms aimed at improving the business environment and attracting more investors.
Furthermore, Dr. Al-Mashat discussed the Ministry’s efforts to drive development financing through economic diplomacy, mobilizing both domestic and external resources to bridge the financing gap in key sectors. She revealed that in the previous year, the private sector had received over $4.2 billion in concessional financing, particularly in the renewable energy sector, bolstering Egypt’s position as a regional hub for clean energy.
On the subject of GDP growth in the first quarter of fiscal year 2024/2025, Dr. Al-Mashat reported a positive growth rate of 3.5%, compared to 2.7% in the same period the previous year. This growth was attributed to the strong performance of key sectors, particularly the non-petroleum manufacturing industry, despite the ongoing decline in the activity of the Suez Canal. She attributed this positive trend to the government’s reform policies, which aim to restore macroeconomic stability and improve governance in public investments.
The Minister also noted that the Suez Canal sector saw a contraction of 68.4% in the first quarter of fiscal year 2024/2025, while the Purchasing Managers’ Index (PMI) rose to its highest level in 50 months, reaching 50.7 in January 2025. Dr. Al-Mashat also highlighted that the non-oil private sector in Egypt exhibited its strongest growth in over four years, underscoring the positive impact of the ongoing economic reforms.
In her remarks, Dr. Al-Mashat outlined the Ministry’s framework for driving economic growth, which relies on three main pillars: using data-driven policies to achieve sectoral development goals, building a resilient economy to ensure macroeconomic stability and implement structural reforms, and improving resource allocation efficiency.
Discussing global growth prospects, Dr. Al-Mashat pointed out that the global GDP is expected to grow by 3.3% in both 2025 and 2026, which is below the historical average, according to the IMF’s World Economic Outlook for 2025.
She concluded by emphasizing Egypt’s ongoing efforts in public investment governance to prioritize resources for critical sectors while leaving room for the private sector to play a more significant role in driving growth.
