Egypt in April 2026: the most important developments in economy
Egypt's economy in April 2026 was shaped by energy news and the effects of the Iran war. On April 7 Italy's Eni announced a gas discovery off Egypt's coast estimated at 2 trillion cubic feet. Egypt also agreed to buy the entire output of Cyprus's Aphrodite gas field, raised the amount of natural gas pumped into the national grid by 500 million cubic feet a day, and said it aims for zero energy arrears by mid-2026. It launched a green hydrogen project and an energy transition alliance, studied a $10 billion green ammonia investment at Ras Banas, and set out to become the region's largest electricity hub. Electricity prices for commercial users and higher-use households rose.
The war weighed on the economy. Urban inflation rose to 15.2% in March, and the private sector slowed to a near two-year low in the purchasing managers' index. Foreign reserves stood at $52.8 billion in March. Around April 16 Egypt recorded $2.7 billion in hot money inflows in three days and the stock exchange broke 51,000 points, but by April 28 the pound was weakening again against the dollar. The government rolled out EGP 40 billion in aid and wage increases to offset higher energy costs, and the IMF's Jihad Azour said Egypt had cushioned the impact quickly. Officials said no talks were underway to expand the IMF program, and Egypt secured a $1 billion loan from international markets.
Investment announcements filled the rest of the month. China plans a $2 billion aluminum plant and a $2 billion logistics city, Afreximbank pledged a $10 billion support program, and the Talaat Moustafa Group unveiled a $27 billion new city east of Cairo. Egypt inaugurated $182.5 million in projects in the Suez Canal Economic Zone. With Hormuz shipping halted and Kuwait declaring force majeure on oil shipments, Red Sea routes drew more traffic. Egypt received its first approval to export farmed seafood to the EU and plans to list 20 state-owned companies on the stock exchange.
by WorldBrief & Maksim Micheliov | AI-generated summary
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