Egypt’s economy made a striking turn in 2025 with non-oil exports jumping strongly and the trade deficit falling noticeably, new government data shows. The trend signals growing global demand for Egyptian products and hints at deeper economic resilience at a time when policymakers are pushing for a more balanced and competitive foreign trade position. Inside the figures and what they mean for businesses and citizens alike is a story of both progress and challenge.
Strong Growth in Non-Oil Exports Pushes Trade Balance Up
Egypt’s non-oil export revenue rose by about 17 percent in 2025 compared with the prior year, reaching around $48.6 billion. This marked improvement was driven by higher shipments of goods like building materials, chemicals, fertilisers and food items to key overseas markets, government reports show.
At the same time, the country’s overall trade deficit narrowed by roughly 9 percent to about $34.4 billion, from around $37.8 billion in 2024. The reduction reflects stronger foreign sales relative to the growth in imports, which increased by a more modest five percent.
What stood out in the export mix:
• Building materials ranked as the largest non-oil export at about $14.9 billion.
• Chemicals and fertilisers contributed around $9.4 billion.
• Food industry goods added roughly $6.8 billion.
• Gold exports saw a major leap of about $4.4 billion to $7.6 billion, reflecting strong global prices and demand.
Economists say this balance of diversified products helped Egypt cut into the trade gap even as global conditions remain uncertain.
Markets Driving Export Momentum
Egypt’s non-oil goods found their largest markets in the Middle East, Europe and North America. The United Arab Emirates was the top destination, followed by Turkiye, Saudi Arabia, Italy and the United States. These partner countries have strengthened trade ties with Cairo through various agreements and commercial initiatives.
Trade officials highlighted how improvements in logistics, customs procedures and export facilitation have made Egyptian products more competitive abroad. At the ministry’s latest press briefing, officials also pointed to expanded sales in engineering goods, agricultural produce and textile segments as growing pillars of Egypt’s export strategy.
Policy Push to Boost Exports and Investment Confidence
Officials are framing the 2025 performance as part of a broader government strategy to transform Egypt into a more dynamic trading economy. The Ministry of Investment and Foreign Trade has underscored ambitions to rank the country among the top 50 in global trade performance indices.
This push aligns with recent credit rating decisions by agencies like S&P Global and Fitch, which have cited progress on structural reforms and macroeconomic stability. In late 2025, S&P upgraded Egypt’s foreign-currency credit rating to B from B-, reflecting confidence in policy actions such as the liberalisation of the foreign exchange regime. Fitch reaffirmed its B rating, reinforcing forward momentum for investors.
Prime Minister Mostafa Madbouly and senior economic planners have also urged both domestic and international investors to deepen their stakes in key sectors such as construction, manufacturing and export-oriented industries. These calls come amid efforts to tap robust private investment and stimulate job creation.
Business and Households Feel the Effects
For businesses, the export surge is translating into growing order books and tighter production pipelines in areas like chemicals and processed foods. Export-oriented firms have reported improved cash flows and stronger foreign currency inflows, helping them plan expansions or adopt modern technologies.
At the same time, the narrower trade deficit and rising export revenues could ease pressure on Egypt’s balance of payments and foreign exchange reserves. According to independent economic data, the Central Agency for Public Mobilisation and Statistics recorded fluctuations in Egypt’s overall trade balance in 2025, with monthly deficits narrowing later in the year.
Household and consumer confidence may also benefit if improved export performance feeds through to more jobs and broader economic growth.
Challenges Ahead for Export Diversification
Despite positive signs, experts caution that sustaining double-digit export growth will not be automatic. Challenges include global demand volatility, supply chain bottlenecks, and competition from regional rivals.
Another concern is that imports remain high, with continued demand for machinery, intermediate goods and essential food commodities, meaning Egypt’s trade balance can still be vulnerable. Government plans talk about import substitution and deeper industrialisation as part of long-term strategy, but these are complex and time-intensive reforms.
Economists also note that while gold export figures were remarkable in 2025, heavy reliance on precious metals can make trade numbers sensitive to global price swings.
What This Means for the Economy
Egypt’s latest trade results reflect a tangible start to a broader economic pivot that began with reforms in recent years, including currency flexibility, export facilitation and trade agreement utilisation. The figures shed light on how policy shifts can translate into real gains for producers and exporters.
Yet analysts stress that continued focus on value-added products, technology adoption, and climbing the global value chain will be key if Egypt is to move beyond raw material exports and build more resilient trade performance.
Egypt’s government expressed cautious optimism about 2026, signalling plans to deepen export support, expand foreign direct investment channels, and enhance bilateral trade partnerships.
With this backdrop, stakeholders from factory floors to trading floors are watching closely to see if the current momentum can turn into lasting economic gains for citizens and businesses.
