Germany – Development consultancy services – 81313585-Job placement services and improvement of working conditions

Over the past decade, the Egyptian economy has experienced slow modernization and inclusive growth despite a rise in GDP from 1.8% in 2011 to 5.2% in 2018. Unemployment remained high at 8.9% in 2018, with youth unemployment at 34.3%. The actual rate may be higher due to underemployment in agriculture and services. Female labor participation is particularly low at 22.3%. Egypt has become a significant partner for Germany, with intensified economic ties leading to growth in trade and employment. However, challenges remain, including low competitiveness, productivity, and innovation, with Egypt ranking low in global indices. The informal sector and lack of finance instruments further hamper competitiveness. The government has pursued reforms for macroeconomic stability and business environment improvement, part of the Sustainable Development Strategy: Egypt Vision 2030. Key reforms include legislative changes to improve the investment climate and the devaluation of the currency to boost competitiveness. Despite these efforts, obstacles like limited availability of skilled workers and weak cooperative relationships hinder growth. The entrepreneurial ecosystem faces challenges that can be addressed through targeted projects.