Egypt’s economy sees 2.5% growth as momentum to continue into 2021 – HSBC

Egypt’s economy is expected to grow 2.4 percent for 2020, compared to a global contraction of 4.1 percent, economists at HSBC said during a Global Economic Outlook virtual roadshow came to the country last week.

Egypt’s momentum should continue into 2021, with HSBC economists expecting a further 2.5 percent growth.

“Egypt’s economy has stood out for its resilience throughout the COVID-19 pandemic, with its 2016 reform programme putting it in a position of strength as it entered the global crisis.” Todd Wilcox, deputy chairman and chief executive of HSBC Egypt, said.

“As we look to build back with even more purpose than before, I am inspired by the ideas, entrepreneurialism and partnerships that are helping foster recovery and growth in Egypt and abroad.”

Simon Williams, chief economist for Central and Eastern Europe, Middle East and Africa (CEEMEA), said: “We remain hopeful that Egypt is through the worst of the downturn, and are confident that it can weather the pressures it will likely continue to face.”

“To an extent, that optimism reflects the stability Egypt had established before the crisis hit, with the rebalancing delivered through the three-year IMF-anchored reform programme taking the fiscal and current account deficit and inflation lower, and reserves higher.” Williams added.

The HSBC Global Economist Outlook roadshow is an annual event, which sees HSBC economists presenting in markets around the Middle East, North Africa and Turkey (MENAT) regions, giving an update on their outlook on the global and regional economies.

The event was attended by Dominic Bunning, Senior FX Strategist; and James Pomeroyl, HSBC Global Economist Director, among others.