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Egypt’s NTRA grants licenses to 7 major outsourcing companies

This move aims to improve the sector's competitiveness, attract foreign investment, and ensure service quality.
18.11.24 | Source: Ahram Online

The seven companies are Vodafone International Services, Raya Contact Centre, Xceed, Concentrix, Capgemini Egypt, Genpact Egypt, and TTC Egypt.


Key figures, including Minister of Communications and Information Technology Amr Talaat, NTRA CEO Mohamed Shamroukh, and Egypt’s Information Technology Industry Development Agency (ITIDA) CEO Ahmed Elzaher, attended the event.


Outsourcing, a business practice where services or job functions are contracted to a third party, has become an integral part of Egypt's growing economy.


During the event, Minister Talaat emphasized the importance of collaboration between the government and outsourcing companies in boosting Egypt’s status as a global hub for outsourcing services.


"The outsourcing industry is a significant global sector, with nearly 200 international companies currently operating in Egypt," he said. 


Shamroukh also stated that issuing these licenses aligns with the NTRA’s strategy to enhance the regulatory environment of Egypt's call centre industry.


This move aims to improve the sector's competitiveness, attract foreign investment, and ensure service quality.


For his part, Elzaher explained that the new licenses allow companies operating in the outsourcing and international call centre services sector to use the latest technologies, including Voice over Internet Protocol (VoIP), which helps reduce business costs and provide high-quality, reliable services to global clients.


He asserted that these measures are part of the agency’s ongoing efforts to facilitate business operations in Egypt and provide a supportive business environment for both local and international companies.


This will strengthen investor confidence and reflect Egypt's commitment to accelerating the growth of the digital economy and enhancing its competitive capabilities in the global outsourcing industry.


According to a report by Egypt’s Information and Decision Support Centre (IDSC), the outsourcing sector grew by 54.2 percent in the fiscal year 2023/2024, contributing an additional $3.7 billion to the economy, an increase from $2.4 billion in FY2022/2023.


The country's outsourcing sector exports reached $3.7 billion in FY2022/2023, and it aims to increase this figure to $9 billion by 2026, according to IDSC.


In addition, Egypt has made substantial strides in the global outsourcing market. According to Ryan Strategic Advisory, in 2023, Egypt moved up to third place on the Offshore BPO Confidence Index, up from 11th place in 2022.


This rapid improvement underscores the maturity of the outsourcing sector and solidifies Egypt's standing as one of the top destinations for outsourcing services worldwide.


The outsourcing sector in Egypt has seen remarkable growth in recent years. As of FY2022/2023, the sector employed 130,000 people, up from 79,000 in FY2019/2020, reflecting a 64.6 percent increase in workforce numbers, according to IDSC.


Additionally, between November 2022 and January 2024, Egypt signed 74 agreements with local and international companies, resulting in the establishment of 85 new outsourcing centres and the creation of 60,000 new jobs.


The country’s focus on the outsourcing industry is further supported by its launch of the Digital Strategy for Offshoring Industry 2022-2026, which aims to enhance Egypt’s competitive edge in the global outsourcing market.

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