The recent implementation of landmark legislation and regulatory reforms in Egypt is expected to result in the country attracting greater investment in infrastructure and human capital development.
That, in turn, will pave the way for the country to tap into its significant deposits of metals and minerals and increase the mining sector’s contribution to gross domestic product (GDP) from 0.6% in early 2021 to a targeted 5% by 2025, notes global research and advisory company Oxford Business Group (OBG).
A new focus report published by OBG explores Egypt’s efforts to carve a niche as a regional energy hub and develop its mining industry by capitalising on its abundant untapped resources.
Titled 'Egypt Petroleum & Mining', the report provides in-depth analysis of the economic sectors in question.
OBG regional editor Harry Van Schaick says Egypt is also “well placed” to act as a key supplier of energy for the continent.
“Several recent large-scale discoveries and efficient discovery-to-production timelines have boosted interest in Egypt’s important oil and gas sector, which accounted for 27% of GDP in 2019,” he points out.
Alongside the expected emergence of regional opportunities, he adds that domestic demand for energy is also set to rise, as Egypt’s broader industrial plan gathers momentum, led in part by the country’s multi-pronged strategy to transform its mining industry by rolling out infrastructure and encouraging the development of supportive industries.