Stumbling Economy

Although only 2.8% of the country’s total area is arable, Egypt is fairly agriculturally oriented. About a third of the workforce is employed in the primary sector, and the regular floods on the banks of the Nile provide them with plenty of work: Multiple annual crops are the norm. The agricultural sector has been performing well, as it is sheltered from political unrest and extreme weather conditions. It grew by 3% from 2013 to 2014 and as of 2015 it makes up about 14.5% of GDP.

Egypt is home to various industries such as automobile and textile production, chemicals, and steel. The manufacturing industry, which comprised 15.5% of GDP in 2015, is getting back on track after a recent slump during the Egyptian revolution. The services sector remains the most important part of Egypt’s economy, accounting to 47.5% of the total GDP.

A third of the nation’s industry is located in or around Cairo. Control of the Suez Canal is another important source of revenue for the nation. In terms of natural resources, Egypt profits greatly from its oil supplies. The Suez Canal is sheltered from internal political ongoings and, thus, its revenues remain stable at about 5 billion USD per year. The New Suez Canal, an 8.4 billion USD project, should also boost Egypt’s economy, with expected annual trade growth rate of 3.4%.

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