ATI
COUNTRY PROFILE
Egypt
Egypt is a high economic transformer with an overall ATI score of 47.2, ranking 6th among the 30 countries in the analysis. The country struggles with export competitiveness, reflecting its dependence on hydrocarbons. Egypt’s overall ATI score declined by 4.8 points over the past two decades.
Cairo
112.7 million
1.5 %
3.8 %
US $3,513
Egypt’s Performance on the African Transformation Index
The overall African Transformation Index score measures the five dimensions of DEPTH.
Overall score
47.2 /100
Score change
since 2000
At a glance
- Egypt is a high economic transformer with an overall ATI score of 47.2, ranking 6th among the 30 countries in the analysis.
- The country struggles with export competitiveness, reflecting its dependence on hydrocarbons.
- Egypt’s overall ATI score declined by 4.8 points over the past two decades.
| Score /100 |
Change since 2000 | ||
 |
Diversification |
63.9 |
0.0
|
 |
Export competitiveness |
10 |
+6.9
|
 |
Productivity increases |
37.5 |
+9.6
|
 |
Technology upgrading |
51.9 |
+3.6
|
 |
Human well-being |
72.6 |
+3.9
|
Diversification of production and exports measures countries’ capability to produce and export a widening array of goods and services.
Score
63.9 /100
Score change
since 2000
At a glance
- Egypt’s economy is relatively diversified but remains heavily dependent on a few key sectors, including hydrocarbons and tourism, with no improvements in diversification over the past decade.
- The manufacturing sector contributes about 15.6 percent to GDP, with a focus on textiles, chemicals, and food processing.
- The service sector is the largest, accounting for roughly 51.6 percent of GDP, driven by tourism, finance, and trade.
- Although non-oil exports have grown, oil and gas still constitute a significant part of export revenues, alongside remittances and tourism.
- Egypt's export basket is moderately concentrated, making it susceptible to external shocks, such as changes in global energy prices and shifts in tourism demand.
Export competitiveness is measured as the ratio of a country’s share in the world’s exports of non-extractive goods and services to its share in world non-extractive GDP.
Score
10 /100
Score change
since 2000
At a glance
-
Egypt's export competitiveness has shown mixed results, with solid performance in textiles, chemicals, and processed agricultural products. However, the country remains heavily dependent on a limited range of exports, including oil and gas, which exposes it to global commodity price fluctuations.
-
The manufacturing sector has potential but is constrained by challenges such as bureaucratic hurdles, high energy costs, and an outdated industrial base.
-
Additionally, logistical inefficiencies and high transportation costs limit Egypt's access to global markets despite its strategic location.
Productivity increases measure the value added per unit of labor in agriculture, manufacturing, and services.
Score
37.5 /100
Score change
since 2000
At a glance
- Egypt’s productivity trends have been upward over the past decade, with specific sectors like telecommunications and construction showing notable improvements while others lag.
- The agriculture and service sectors have seen steady increases in productivity over the past decade.
- The manufacturing sector has seen some productivity growth, especially in textiles and chemicals, but it has not kept pace with other emerging markets.
Technology upgrading measures the medium-and high-technology content in total production activities and total commodity exports.
Score
51.9 /100
Score change
since 2000
At a glance
- Egypt has made strides in technology upgrading in recent years, particularly in sectors like telecommunications, fintech, and automotive manufacturing.
- However, the broader economy still faces challenges integrating advanced technologies, especially in the traditional agriculture and essential manufacturing sectors.
- While Egypt boasts a growing tech startup ecosystem, its adoption of advanced production technologies in the manufacturing sector remains below its potential, limiting its ability to produce high-tech goods.
- Barriers such as bureaucratic processes, limited R&D spending, and a skills gap in the workforce further slow down technology diffusion.
Human well-being measures economic and social outcomes and enablers in terms of incomes, income inequality, formal employment, and female participation in formal labor markets.
Score
72.6 /100
Score change
since 2000
At a glance
- Egypt has made strides in improving human well-being over the past decade, mainly through investments in health and education.
- However, poverty rates remain high, with a considerable portion of the population struggling to achieve economic security.
- Income inequality persists and many Egyptians are employed in the informal sector, where wages and job security are often low.
- Youth unemployment is also high, particularly among educated young people.
- Female participation in the formal workforce is limited, reflecting cultural and structural barriers.
Discover more from the ATI
ATI Scorecard
Explore the data behind the economic transformation progress of 30 African countries between 2000-2020.
Growth with DEPTH
Explore the ATI in DEPTH and see how African countries performed on each dimension between 2000-2020.
Methodology
Learn more about our methodology, sources, and how we calculate the index.
Country Profiles
To explore the results of the index in greater detail and provide context and analysis, the ATI report includes 11 case studies.
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