Egypt in February 2026: the most important developments in economy
Egypt's economy in February 2026 was shaped by closer ties with Turkey, financing and monetary decisions, and, at month end, regional military tension. On 4 February Turkish President Recep Tayyip Erdogan gave Egyptian President Abdel Fattah al-Sisi a Togg, Turkey's domestically produced electric car, during a visit aimed at strengthening relations. Bilateral trade reached $6.8 billion in 2025, Egyptian officials spoke of forging an economic bloc with Turkey, and the Turkish conglomerate Eczacibasi announced plans to invest in Egypt's building materials industry. Egypt also held an economic summit with the United Arab Emirates and agreed with France to build an industrial complex for rail and electrical systems.
On financing, Egypt planned to issue $2 billion in international bonds before the end of the fiscal year in June and began selling 'Citizen Bonds' through post offices. The IMF chief expressed confidence in Egypt's resilience, and the fund said the reform programme had advanced the fifth and sixth reviews of its loan. The European Bank for Reconstruction and Development invested a record EUR 1.3 billion in Egypt in 2025. On 12 February the central bank cut its key interest rate by one percentage point, with inflation cooling and foreign reserves at a record high. On 26 February the pound fell against the dollar despite a reported jump in reserves.
In energy and shipping, new Western Desert discoveries are expected to add 5,200 barrels of oil and 34 million cubic feet of gas per day. The EU granted EUR 125 million for renewable energy, and Mubadala Energy took a 15% stake in the Nargis offshore block. Maersk and Hapag-Lloyd resumed using the Suez Canal, which reported over 1,300 transits and $449 million in revenue since the start of the year. On 28 February EgyptAir suspended flights to 13 Middle Eastern destinations because of the military escalation involving the United States, Israel and Iran. Israel halted natural gas exports to Egypt, and Egyptian authorities moved to secure alternative supplies. Exporters warned of renewed Red Sea delays and higher freight and insurance costs.
by WorldBrief & Maksim Micheliov | AI-generated summary
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