Egypt’s Minister of Planning and Economic Development, Hala El-Said. Photo: Ahram
Egypt’s Minister of Planning and Economic Development, Hala El-Said announced that the government targets to inject about EGP 136.4 billion, representing 18.5 percent of the country’s total investment plan for FY2020/2021, in the urban development sector.
In a statement issued on Thursday, the minister clarified that these investments are split into three parts, including real estate activities that constitute the largest part at a rate of 45.6 per cent (EGP 62.1 billion), while 28.5 per cent of investment (EGP 38.9 billion) is allocated to construction works, and 25.9 per cent (EGP 35.3 billion) is directed to water and sanitation projects.
A ministerial report clarified that the urban development sector’s share in Egypt’s gross domestic product (GDP) at constant prices is expected to reach about EGP 706 billion during FY2020/2021, with a growth rate of 4.7 per cent over 2019.
The sector’s share of GDP involves the water and sanitation sector that targets achieving about EGP 23 billion, the construction works that targets achieving about EGP 269.4 billion in FY2020/2021, up from EGP 253.1 billion in FY2019/2020 , and the real estate activities that expects to attain EGP 413.3 billion output, up from EGP 398.6 billion in FY2019/2020, as according to the report.
The report pointed out that Egypt targets to increase the output of the urban development sector at the current prices from EGP 168.0 billion in FY2019/2020 to about EGP 197.5 billion during FY 2020/2021, representing an increase of about 17.9 per cent.
As for constant prices, it’s targeted to increase the sector’s output from about EGP 106.8 billion in FY2019/2020 to EGP 111.9 billion in 2020/21, with an increase of about 5.7 per cent, according to the report.