Trade between Egypt and Qatar surged nearly 80 percent in 2025, underscoring a sharp warming of economic ties as Doha steps up investment in Africa’s most populous country, Egypt’s investment minister said.
Bilateral trade reached US$143 million in the first 10 months of 2025, up from US$80 million in 2023, Hassan El-Khatib, Egypt’s Minister of Investment and Foreign Trade, told the Egyptian-Qatari Business Forum in Cairo.
The figures highlight a renewed push by both governments to deepen commercial cooperation after years of fluctuating relations, with Qatar emerging as one of Egypt’s most significant Gulf investors.
El-Khatib said Qatari investments in Egypt have climbed to about US$3.2 billion, channelled through more than 266 companies operating across finance, industry, tourism and services.
“These developments reflect growing confidence in the Egyptian economy and the strength of our strategic partnership with Qatar,” he said.
The minister pointed to a series of newly signed agreements designed to expand investment cooperation and unlock new areas for joint projects.
Among the most notable is a fresh Qatari investment initiative to develop the Alam El-Rum area along Egypt’s Mediterranean North Coast, part of a wider partnership covering tourism, real estate and urban development.
Egypt has been actively courting Gulf capital as it seeks to revive growth, ease pressure on public finances and attract long-term investment amid global economic uncertainty.
El-Khatib said Cairo is committed to strengthening its appeal as an investment destination, citing Egypt’s strategic geographic position at the crossroads of Africa, the Middle East and Europe, as well as its large pool of skilled labour at competitive costs.
He added that political stability and a secure business environment have helped position Egypt to host large-scale and diversified investment projects.
The minister said the government has pressed ahead with structural and institutional reforms aimed at sustaining growth and improving the business climate.
These include long-term macroeconomic policies to stabilise markets, alongside an extensive digital transformation of government services intended to reduce bureaucracy, lower costs and improve transparency for investors.
According to El-Khatib, the reform agenda has already delivered tangible results, boosting confidence and predictability in the market.
On the monetary side, he said prudent policies have helped bring inflation down to 12.3 percent by November 2025, easing pressure on households and businesses.
Foreign currency reserves have risen to US$50.2 billion, while remittances from Egyptians working abroad increased to US$36.5 billion, strengthening the country’s external position and supporting overall economic stability, he said.
Fiscal reforms have also played a role, El-Khatib said, noting that successive policy packages have expanded Egypt’s tax base by around 35 percent without raising tax rates.
“This approach has enhanced trust between the state and the business community,” he said.
Further measures are under way to reduce non-tax financial burdens, streamline investor fees and accelerate digitalisation to cut costs and improve governance.
El-Khatib also outlined Egypt’s trade strategy, describing it as open and flexible, with a focus on reducing the trade deficit by boosting exports and lowering transaction costs.
The government is targeting exports worth US$145 billion, supported by simplified procedures and cost reductions of up to 90 percent in some areas, he said.
The strategy aims to maximise the benefits of trade agreements while protecting domestic industries and strengthening Egypt’s competitiveness in global markets.
Looking ahead, El-Khatib said Egypt is pursuing an ambitious goal of ranking among the world’s top 50 countries for investment and trade competitiveness within the next two years.
He concluded by saying that Egypt is offering a wide range of promising opportunities for investors and sees deeper cooperation with Qatar as a cornerstone of a broader vision built on integration, shared growth and mutual economic benefit.
