Page 50 - Phelan Energy Green Ammonia Plant Egypt

Choice of Egypt
1 Economic Outlook
o Egypt is one of Africa’s top three economies, with an estimated Nominal GDP of USD 438 BN as of 2022
o The country has been on a strong and resilient growth path since the economic reforms initiated in 2016, under Vision 2030. It was one of the few African
countries to record a positive growth in 2020, at 3.6%, despite the adverse impact of the COVID–19
o Egypt’s economy is heavily dependent on the energy sector, which contributes over 20% to the country’s GDP. The Sustainable Development Strategy laid
down in Vision 2030 focuses on the Environmental Dimension, establishing a target to reduce greenhouse gases (GHGs) by 10% from the energy sector,
including oil and gas, by 2030 compared to 2016 levels
o While GDP growth faces additional downward pressure on account of global geopolitical tensions in the short term, the overall outlook for the economy has
been positive
Historical and Forecast Real GDP Growth rates
Development Indicators of Egypt’s Vision 2030
2020 2030
GDP real growth (%) 10 12
GDP per capita (USD) 4000 10000
Inflation rate (CPI, annual %) 8 5.3
Industrial development rate (%) 8 10
Industry share of GDP (%) 15 18
Energy sector share of GDP (%) 20 25
Renewables’ share in primary energy (%) 8 12
Renewables in electricity production (%) 21 32.5
Source: Statista.com
Sources: https://www.imf.org, https://www.afdb.org, Egypt Sustainable Development Strategy report 2030
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