Egypt efforts to modernize aircraft inventory to drive defense expenditure at 3.9% through 2028

The US provides Egypt with $1.3 billion of military assistance annually to facilitate the transition from the outdated Soviet era equipment to advanced equipment made in the US and other Western nations. Against this backdrop, Egypt’s defense expenditure spending, inclusive of the US military funding, is forecast to register a compound annual growth rate (CAGR) of 3.9% from $9.4bn in 2024 to $11bn in 2028, says GlobalData, a leading data and analytics company.

GlobalData’s latest report, “Egypt Defense Market Size and Trends, Budget Allocation, Regulations, Key Acquisitions, Competitive Landscape and Forecast, 2023-28,”Australia Defense Market Size and Trends, Budget Allocation, Regulations, Key Acquisitions, Competitive Landscape and Forecast, 2022-27,” reveals that the country’s increasing military expenditure is driven by the ongoing modernization efforts to procure military fixed-wing and military land vehicles to counter terrorism in the Sinai Peninsula, instability in Libya, and maritime security concerns over the Suez Canal.