Increasing industrial production to 4.3 trillion pounds in the 2024 development plan

The medium-term plan, which ends by the fiscal year 2025/2026, is launched to develop the industrial sector within the framework of the comprehensive development vision strategy for Egypt 2030, which highlights the role played by the industrial sector as a pioneering sector that drives economic growth in Egypt.

The development vision requires always working to strengthen the capabilities of the industrial sector as a main engine for economic growth by providing the appropriate environment for sustainable industrial growth based on strengthening the Egyptian product, developing knowledge and innovation, diversifying its productive structure, expanding its absorptive capacity of labor, and intensifying the investment orientation of the industrial sector towards export industries that enjoy Egypt has a comparative and competitive advantage, as well as towards industries whose products can replace imported products, especially components and intermediate inputs, which can meet the needs of development sectors and thus reduce the import gap.

Economic and social development plan document

According to the economic and social development plan document submitted by the Minister of Planning, Dr. Hala Al-Saeed, for the current fiscal year 2023/2024, and approved by Parliament in its two chambers (Representatives, Senate), it is intended to increase industrial production from about 3.6 trillion pounds in the previous fiscal year to 4.3 trillion pounds this year. 2023/2024, with a growth rate of more than 19% at current prices, reaching about EGP 5.74 trillion at the end of the 2025/26 plan, recording a growth rate of approximately 15% over the corresponding production in the previous year.

It is noted from the development of the industrial structure during the years of the medium-term plan that both petroleum and non-oil industries are expected to grow at similar rates, which keeps the relative weight of each of them largely constant (80% non-oil industries, 20% petroleum industries), as indicated by the plan document development.

According to the plan document, it is estimated that the total industrial production at constant prices will reach just over three trillion pounds in the year 2023/24, then to about 3.23 trillion pounds in the year 25/26, but with the expectation that the production of petroleum industries will grow at a faster pace than the corresponding production. for non-oil industries.

It is noteworthy that the main directions of the development plan for the advancement of the industrial sector depend on a number of mechanisms, foremost of which is the rationalization of resources in the industrial sector, the provision of mechanisms to raise the efficiency of energy use and the setting of standards for consumption, the transition to sustainable industry by creating new green industries that produce environmental goods and services, and the transformation of a number of industries The list of industries compatible with the environment while providing relevant incentives and creating them, as well as strengthening the innovation component by encouraging new ideas and providing incentive and financing packages to support young talent, linking the needs of the sector and finding innovative and creative solutions to the problems of the industrial sector.

This comes in addition to encouraging the settlement and development of promising industries, such as developing and modernizing the pharmaceutical industry, producing vaccines and facilitating drug registration procedures, while setting incentives for factories to develop and expand their industry and speed up the implementation of the stages of establishing the drug city in the Khanka region, facilitating procedures for issuing industrial licenses and moving towards digital transformation in The provision of services.

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