Report Overview

The Egyptian Government’s increasingly large investments in the mega infrastructure development projects and rapid urbanization and industrialization across the Kingdom are expected to boost the growth of Egypt Construction Market during the forecast period between 2024 and 2031.

Egypt Construction Market - Industry Trends & Forecast Report, 2031

Egypt Construction Market size was estimated to be worth USD 74.42 billion in 2024. During the forecast period between 2025 and 2031, Egypt Construction Market size is projected to grow at a CAGR of 9.35%, reaching a value of USD 139.13 billion by 2031. Major growth factors for the Egypt Construction Market include such as building the New Administrative Capital City near Cairo, as well as growing demand for residential complexes due to increased housing demand are major growth factors for Egypt Construction Market. In addition, the rising integration of automated solutions in the construction industry is anticipated to drive the Egypt construction market over the forecast period.

Construction – Overview

Construction includes building new buildings, roads, residences, railroads, and other structures, as well as renovating or repairing existing ones. It also involves several procedures like planning, financing, and developing the assets so that they are used. The construction industry, which is vital to the economic growth of a region, laid the technological and physical foundations for modern civilization. Also, the rise in eco-awareness is hastening the creation of energy-efficient, net-zero structures. Aerial lifts, backhoe loaders, cranes, excavators, and welders are just a few of the various tools and equipment used in the construction industry.

Egypt Construction Market

Growth Drivers

Rising Adoption of Automation in Construction Industry

The companies involved in the construction sector in Egypt are increasingly investing in integrating new and innovative technologies to boost their market share. Robots can install drywall, pave roads, lay bricks, excavate to certain depths, and handle plumbing, and therefore, are gaining significant traction in the market. Other technologies, such as construction machinery like excavators, cranes, and bulldozers that can be controlled and monitored remotely through automation, are being deployed in construction activities to improve efficiency, reduce cost, and attain sustainability.  

Challenges

Regulatory Complexity in Egypt

The complex regulations in the construction sector of Egypt are a challenge to navigate through, which hinders foreign investment in the sector. For instance, with Arabic as the predominant language, international investors are required to create legal documents and communicate through the Arabic language. As a result, they need to hire and employ translators and legal experts proficient in both languages. Such regulations may act as a huge restraining factor for Egypt construction market growth.

Impact of Escalating Geopolitical Tensions on Egypt Construction Market

Intensifying geopolitical tensions hinder the growth of the Egypt Construction Market. For instance, escalating geopolitical tensions in Israel and across the Middle East region have resulted in the disruptions of international shipping and supply chains of construction materials in Egypt as well. The hindrance to commercial shipping in the Red Sea and Gulf of Aden caused a significant spike in the cost of construction materials due to increased shipping costs which have disrupted the overall growth of the Egypt Construction Market.

Egypt Construction Market

Segmental Coverage

Egypt Construction Market – By Sector

Based on sector, the Egypt Construction Market is segmented into commercial construction, residential construction, industrial construction, institutional construction, and others. The commercial construction sector holds the largest share in the Egypt Construction Market. The Egyptian Government is significantly investing in propelling the tourism sector by constructing commercial spaces, such as entertainment facilities, airports, ports, recreational complexes, and education institutes. Egypt is also witnessing substantial growth in its tourism sector, which is anticipated to boost demand for hospitality facilities, driving commercial construction market growth.

Egypt Construction Market – By Construction Type

On the basis of construction type, Egypt Construction Market is segmented into building & construction, new, renovation, and repair & maintenance. The building & construction segment accounts for the largest market share. The growth of the segment is mainly attributed to the increasing construction of residential and non-residential buildings. The increasing housing demand in the Kingdom owing to rising population and accessibility to housing loans is directly influencing the building and construction of residential buildings, which is propelling its market growth.

Egypt Construction Market – By End User

By end user, the Egypt Construction Market is segmented into public and private. The public sector dominates the Egypt Construction Market. Public investment has supported various construction projects, including the ambitious New Administrative Capital City. The government is also focused on promoting the tourism sector through the construction of large tourism projects.

Competitive Landscape

Major players operating in the Egypt Construction Market include Concord Engineering & Contracting, Consolidated Contractors Company, Emaar Properties, Hassan Allam Holding, Gama Construction, Kharafi National, Madkour Group, Orascom Construction, Palm Hills Developments, and The Arab Contractors. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Scope of the Report

By Sector

• Commercial Construction

• Residential Construction

• Industrial Construction

• Institutional Construction

• Others

By Construction Type

• Building & Construction

• New

• Renovation

• Repair & Maintenance

By End User

• Public

• Private