Egypt’s non-oil trade deficit declines 16 percent to $15.9 billion in H1 2024

During the first six months of 2024, Egypt’s non-oil trade deficit declined by around 16 percent to $15.9 billion from $18.917 billion during the first half of 2023, a government report revealed. From January to June, exports rose 9.8 percent to $19.641 billion while imports declined by around 3.3 percent to $35.565 billion, further contributing to the decline in Egypt’s non-oil trade deficit.

Egypt’s exports rise

Egypt’s exports of building materials contributed $4.7 billion or 24 percent of the nation’s total exports. Following closely came chemical products and fertilizers with a share of 19 percent, contributing $3.8 billion to the country’s exports.

Meanwhile, food industries contributed 15 percent or $3.1 billion. Crops contributed 14 percent or $2.7 billion to Egypt’s total exports, while the engineering and electronic goods sector contributed 13 percent or $2.6 billion.

Imports dip

The decline in Egypt’s non-oil trade deficit during H1 of 2024 was primarily due to a $1.2 billion decline in imports.

When it comes to the country’s imports, engineering and electronic goods dominated with a 30 percent share and a value of $10.8 billion. In second place came building materials with an 18 percent share, contributing $6.8 billion.

In addition, imports of crops made up 14 percent of Egypt’s total imports with a value of $4.9 billion. Meanwhile, chemical products and fertilizers matched, contributing $5.1 billion. In last place came food industries which contributed 11 percent of Egypt’s total imports at $3.9 billion.

Egypt’s economic outlook

As Egypt’s currency stabilizes, the non-oil trade deficit declines and the general economic conditions improve, the country is set to see a 2.7 percent expansion in its gross domestic product (GDP) in FY 2023-24 and a 4.1 percent growth in FY 2024-25, according to the International Monetary Fund (IMF).

Meanwhile, the World Bank Group (WBG) reaffirmed its forecasts for Egypt’s GDP growth, maintaining it at 4.2 percent for FY 2024-25 and 4.6 percent for FY 2025-26.