Positive Economic Outlook Good for Egypt’s Property Sector

Our analysis of the recent comprehensive economic review of Egypt collated and produced by Moody’s Investors Service together with the latest economic findings of the Institute of International Finance relating to Egypt’s performance reveal an overall positive economic outlook emerging which is good for Egypt’s property sector.

Backing the findings of both reports were the announcements recently that foreign direct investment in Egypt this year is already running at its highest level for many years thanks to a couple of mega privatization deals, and that a number of high profile international investors are committing to the nation despite warnings that the profitability of their investments may not come to fruition for another decade or so.

Confidence in Egypt is running at an all time high, investment commitment is being made because the international community has faith in the policies and visions of the current leadership in Egypt and Moody’s Senior Vice President Pierre Cailleteau summed it up perfectly when he stated that “evidence of a decisive break with the past is mounting” – and it is this that is creating a strong flow of international property investor interest across Egypt.

We at Amberlamb have witnessed a strong increase in the numbers of our readers directly interested in targeting their investments for 2006 and beyond into property in Egypt with the general consensus of opinion seeming to be that it’s a strong market in terms of excellent long term potential.

In the 2005 – 2006 financial year the economic growth rate in Egypt has risen to 6.8% which is the highest rate witnessed for five years, and one of the strongest industries supporting this rapid expansion continues to be construction.  With global giants such as Emaar Properties committing billions of dollars to the construction of superior mixed use resorts, residential property developments and commercial real estate projects, Egypt is thriving on a wave of international confidence.

The Institute of International Finance, which consists of representatives from many of the world’s leading commercial and investment banking institutions sees the current economic growth pattern in Egypt as sustainable for at least the medium term based on the fact that the government is actively continuing the development of its economic reform policies – their findings mirror those of Moody’s Investor Service which believe that the Egyptian government’s strategic approach to the reduction of corporate and personal taxation burdens and their continued and sustained efforts to attract and boost levels of foreign trade will ensure the continuation of a reversal of the trend that began back in 1998 for withdrawal of international investment in Egypt.

The fiscal reforms that the Egyptian government has committed to have basically improved the nation’s credibility and as a result it has an increasingly successful tourism market, a burgeoning international business environment and now it also has an emerging real estate market too meaning that the nation is increasing in attraction rapidly.

Special Reports: Property News for Egypt

Egypt Property Buying Process
Property investment in Egypt is made difficult by an incomplete property registry but much is being done to improve things

Egypt Property Investor’s Country Guide
Property investor interest in Egypt is increasing as the Egyptian government encourages foreign investment and promotes economic growth.

Egypt Real Estate Investment Potential
Domestic and international demand for property for sale and rent in Egypt presents a property investor with maximum profit potential.