ICT sector contribution to Egypt’s GDP rises to 5.8% in FY2023/2024

Ahram Online , Wednesday 6 Nov 2024

The contribution of the information and communications technology (ICT) sector to Egypt’s GDP rose to 5.8 percent in the fiscal year (FY) 2023/2024, up from 3.2 percent in FY2017/2018, Minister of Communications and Information Technology Amr Talaat announced on Wednesday.

Amr Talaat
Minister of Communications and Information Technology, Amr Talaat

 

According to the State Information Service, the ICT sector's contribution to GDP was five percent in FY 2022/2023, and the target is to reach eight percent by 2030.

The ICT sector was also the fastest-growing sector in Egypt’s economy in FY2021/2022, achieving a growth rate of 16.7 percent, compared to 16.1 percent in the previous fiscal year. 

Talaat added that Egypt's ranking in fixed broadband across Africa had significantly improved, rising from 40th place six years ago to first place two years ago, a position the country has maintained since.

In addition to this progress, Talaat highlighted Egypt's advancement in the World Bank's GovTech Maturity Index (GTMI), moving from category C to category A.

He also pointed out that Egypt is now ranked among the top 12 countries globally in cybersecurity.

Talaat further emphasized the growth of Egypt’s offshoring sector, noting that the number of professionals providing digital services to international markets had increased from 90,000 to more than 140,000 in just two years. 

He also mentioned that, in recent years, five global companies had chosen Egypt as a hub for mobile phone and tablet manufacturing, contributing an added value of over 40 percent.

Egypt plans to double its outsourcing sector exports to $9 billion by 2026. 

According to the latest data published on the ICT website, the outsourcing sector exports recorded $3.7 billion in FY2022/2023.

Talaat also explained that the first version of Egypt’s National AI Strategy had been implemented over the past three years, with a focus on the role of the Applied Innovation Centre (AIC) in developing AI systems across several key sectors, including healthcare, agriculture, the environment, and water resource management.

 Finally, he highlighted that Egypt’s ranking had improved by 49 positions on the Government AI Readiness Index. According to the State Information Service, the ICT sector's contribution to GDP was 5 percent in FY2022/2023, with a target of 8 percent by 2030.

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