Transformative industries are an important contributor to Egypt’s economy for playing a role in securing local demand and increasing exports. Such industries include furniture manufacturing, wood and paper production, as well as beverage production, with its index hitting record highs in March.
The average contribution of transformative industries to the gross domestic product (GDP) during the last two decades reached about 16.9%. The total added value of the transformative industries was distributed between the oil refining industry and other transformative industries, with contribution rates amounting to about 21% and 79%, respectively, during fiscal year (FY) 2021/2022, according to the third release of the "Economic Talk" initiative prepared by the Cabinet’s Information and Decision Support Center (IDSC) published in June.
Heba Salah, an economic expert and public policy analyst at the IDSC, tells Arab Finance: “Transformative industries in Egypt play a crucial role in the country’s economic growth through promoting inclusive industrial development, raising Egyptian exports, and enhancing competitiveness, in addition to accelerating productive-structure diversification, deepening local industrialization, and creating more decent and productive employment opportunities."