Egypt Targets 7-8% Sustainable Annual Growth

The Mosque of Muhammad Ali is seen shrouded in fog at the Saladin Citadel fortification in Cairo, Egypt, 12 September 2023. (EPA)
The Mosque of Muhammad Ali is seen shrouded in fog at the Saladin Citadel fortification in Cairo, Egypt, 12 September 2023. (EPA)
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Egypt Targets 7-8% Sustainable Annual Growth

The Mosque of Muhammad Ali is seen shrouded in fog at the Saladin Citadel fortification in Cairo, Egypt, 12 September 2023. (EPA)
The Mosque of Muhammad Ali is seen shrouded in fog at the Saladin Citadel fortification in Cairo, Egypt, 12 September 2023. (EPA)

Egypt’s Planning Minister Dr. Hala El-Saied said Egypt is targeting sustainable annual growth ranging between 7 to 8 percent.

Speaking at the "Story of a Homeland” conference that was inaugurated by President Abdel Fattah al-Sisi on Saturday, she added that despite diverse sources the growth remains unsustainable.

The minister remarked that Egypt aims to boost private sector investments from 36 percent to 65 percent of the overall investments by 2030.

The government is seeking to increase exports to $100 billion during the next five years to attract private investments worth $40 billion by 2060, and to proceed with its plans to boost the private sector's role in the economy.

Speaking at the same event, Prime Minister Mostafa Madbouli said Egypt would manage to produce all its petroleum products next year.

He added that crude oil will continue to be imported but will be refined in the country.

The PM said that the project to double the Suez Canal has replaced the idea of alternative routes.

Egypt plans to expand the length of the canal from 72 kilometers to 82 kilometers.

The canal is a prime source of foreign currency to Egypt.

Sisi had previously stated that the revenue generated from the Suez Canal is anticipated to reach $10.5 billion by the end of the year.

The annual revenues of the canal reached $9.4 billion during the 2022/2023 fiscal year, announced Suez Canal Authority (SCA) chief Osama Rabie in July.

During the G20 summit hosted by India last month, a memorandum of understanding was signed to set up the India-Middle East-Europe Economic Corridor. The IMEC project envisages laying down, alongside the railway line, cables for electricity and digital connectivity, as well as pipelines for clean/green hydrogen export.

Madbouli added that Egypt aims to increase the number of tourists from 15 million annually to 30 million in the next five years.



Saudi Arabia's Non-Oil Exports Hit Historic High of SAR515 Billion in 2024

A night view of Riyadh, Saudi Arabia. (SPA)
A night view of Riyadh, Saudi Arabia. (SPA)
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Saudi Arabia's Non-Oil Exports Hit Historic High of SAR515 Billion in 2024

A night view of Riyadh, Saudi Arabia. (SPA)
A night view of Riyadh, Saudi Arabia. (SPA)

Saudi Arabia's non-oil exports reached an unprecedented SAR515 billion in 2024, marking the highest value in the Kingdom's history. This achievement represents a significant 13% increase compared to the previous year and an impressive growth of over 113% since the launch of Vision 2030.

The robust growth spanned all export sectors. Merchandise exports climbed to SAR217 billion (+4%), fueled by respective increases of 2% and 9% in petrochemical and non-petrochemical exports, reported the Saudi Press Agency on Saturday.

Re-exports surged to SAR90 billion, demonstrating a remarkable 205% growth since the inception of Vision 2030. Services exports also reached an all-time high of SAR207 billion, exhibiting a 14% year-on-year increase and a substantial 220% rise since Vision 2030's announcement.

Saudi Export Development Authority CEO Abdulrahman Althukair attributed this historic non-oil export performance to the Kingdom's sustained efforts in economic diversification and enhancing the competitiveness of national products.

He highlighted the authority's commitment to facilitating national companies' access to new markets and bolstering their export capabilities through comprehensive programs encompassing training, empowerment, promotion, and advisory services. This aligns with Vision 2030's goals to establish a thriving economy where non-oil exports are a key driver of sustainable growth.

In 2024, petrochemical commodity exports amounted to SAR149 billion, constituting 68% of total commodity exports, and registered a 2% increase in value and weight compared to the previous year.

Non-petrochemical commodity exports achieved a remarkable SAR69 billion (32% of total commodity exports), the highest value in recent years. This included record export figures for over 205 Saudi products, such as food and dairy products, minerals, and building materials. Fertilizer exports also demonstrated exceptional growth, with product weight reaching a historic peak in 2024, increasing by 5% year-on-year, and more than fivefold in value since the launch of Vision 2030.

The Kingdom's re-export sector also delivered a historic performance in 2024, reaching SAR90 billion, a 205% increase compared to 2016, a 42% rise year-on-year, and a 114% increase compared to 2019. This was primarily driven by the re-export of mobile phones, which reached a record value of SAR25 billion, more than doubling their 2023 value. The operation of the integrated logistics zone at King Khalid International Airport played a significant role in this remarkable growth by enhancing supply chain efficiency and facilitating re-export operations.

Machinery, automated devices, transportation equipment, and parts thereof constituted 84% of total re-exports in 2024. Re-exports of aircraft parts also experienced substantial growth, increasing from SAR1.6 billion in 2022 to over SAR2 billion in 2024.

In 2024, the Kingdom exported goods, re-exports, and services to over 180 countries, with 37 countries registering record import values, including the UAE, Bahrain, Iraq, Oman, Algeria, Spain, France, Poland, Libya, and Syria. Other countries, such as Indonesia, Thailand, Morocco, Pakistan, Nigeria, Germany, Greece, and Bulgaria, also achieved record import volumes.

Services exports reached a record SAR207 billion in 2024, marking a 14% year-on-year increase and a 220% rise since 2016. The travel and tourism sector was a key driver, increasing by 270% since 2016. In 2024, Saudi Arabia welcomed approximately 30 million international tourists, contributing to a 150% increase in travel exports compared to 2019, representing 74% of total service exports.

The Kingdom also recorded a 69% increase in international tourist numbers compared to pre-pandemic levels and a 148% increase in tourism revenues compared to 2019. Saudi Arabia led the G20 in tourist number growth, with a 73% growth rate during the first seven months of 2024 compared to the same period in 2019. The transportation sector contributed 12% of total service exports, achieving a 5% year-on-year growth.