The real estate sector of Egypt is arguably the most stable. During 2011 when the country was undergoing a change in regime, the market remained wholly unchanged as locals continued to take advantage of the competitive payment options offered by the country’s most reputable property companies.
Similarly, the floating of the Egyptian pound caused an influx in the purchase of high-end properties, since Egyptians living abroad suddenly had twice as much income when converted to Egyptian pounds. Knowing that investing in Egyptian property is essentially risk free, much of the middle class turned to the real estate market for investments, causing an 11.5% increase in the sectors index.
Looking into the future, this sector is expected to increase Egypt’s external competitiveness, and thus attract more foreign investment into the country. Aside from residential properties, there is a growing demand for commercial and retail spaces, and a large number of shopping centers and office parks are currently under construction in an effort to meet the demand from a more structured market driven by the growing middle class.
It is also important to note that 29% of the population is under 40 years old, as this suggests a continuation in the demand for various forms of real estate within the country. This sector already contributes significantly to the Egyptian economy by impacting around 90 industries relating to construction, and 8% of the overall labour force.