Egypt’s construction sector is projected to grow at an impressive annual rate of 7.6% from 2025 to 2028, according to GlobalData. This expansion is driven by significant investments in transport, power, housing, hydrogen infrastructure, and renewable energy, reflecting the government’s ambitious development goals.
One of the flagship projects is the $35 billion, 170-million-square-meter Ras El-Hekma development, announced by Abu Dhabi-based ADQ in early 2024. The initial phase, covering 50 million square meters, will be managed by ADQ’s subsidiary Modon Holding, while the remaining 120 million square meters will involve partnerships with private developers.
A cornerstone of Egypt’s renewable energy ambitions is the Egyptian Electricity Transmission Company’s (EETC) 10GW wind farm in West Suhag. The $10 billion project is expected to generate 47,790GWh of clean energy annually, reducing carbon emissions by 23.8 million tons—or 9%—each year by 2030.
Water desalination is also a key focus. In September 2024, Egypt invited bids for the first phase of a renewable energy-powered desalination project, which will include 15 plants with a combined capacity of 3.35 million cubic meters per day by 2025. The project, expected to attract $3 billion in investment, aims to expand capacity to 8.85 million cubic meters per day by 2050.
The commercial and residential sectors are also contributing to the industry’s growth. Magnom Properties plans to launch construction of the $1.2 billion Forbes International Tower in Egypt’s New Administrative Capital in 2025. Similarly, Gates Developments announced four new residential projects in September 2024, including the $1.13 billion Lyv Caesar project, which is set for completion in 2026.
Affordable housing initiatives further boost growth. By September 2024, the government had disbursed $2.1 billion in mortgage loans to over one million residents, according to the Social Housing and Mortgage Finance Fund.
With these transformative projects and a focus on renewable energy, Egypt’s construction industry is on track to support economic development while improving living standards across the country.
