Egypt Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2029 (Q2 2025)
Summary
GlobalData expects the Egyptian construction industry to grow by 6.5% in real terms in 2025. This will be supported by I increase in foreign direct investment (FDI), coupled with investment in oil and gas, industrial and housing construction. According to the Central Bank of Egypt (CBE), the country’s average construction production index grew by 9.2% year on year (YoY) in the first two months of 2025, preceded by annual growth of 6.9% in 2024. In March 2025, the government announced the fiscal year (FY) 2025-26 (July 2025 to June 2026) Budget, which includes total government expenditure of EGP4.6 trillion ($91.3 billion) for the FY2025-26. This represented an 18% increase compared to the FY2024-25 Budget expenditure. Furthermore, in April 2025, the authority of Suez Canal Economic Zone (SCZone) revealed that it has attracted and secured 272 projects across its industrial zones between 2022 and March 2025, totaling EGP418.2 billion ($8.3 billion).
The construction industry's output is expected to register an annual average growth rate of 7.6% between 2026 and 2029, supported by investment in commercial, renewable energy, and transport infrastructure projects, coupled with the government targets of developing 10GW of renewable energy projects by 2028 under the Nexus of Water, Food, and Energy Program (NWFE Program). The Egyptian government also aims to increase the share of renewable energy in the electricity mix to 42% by 2040, compared to 11.5% in 2024. In another boost to the industry, the government plans to develop 32 hydrogen plants, with a combined investment of EGP5.4 trillion ($107.2 billion) by 2030, to initially produce 3.2 million tonnes of hydrogen per year, further increasing to 9.2 million tonnes by 2040
GlobalData’s Construction in Egypt - Key Trends and Opportunities to 2029 (Q2 2025) report provides detailed market analysis, information, and insights into the Egyptian construction industry, including -
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