Transport & Logistics
From The Report: Egypt 2020
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As Egypt seeks to integrate more fully into global value chains, the development of transport infrastructure is a vital part of the country’s long-term growth. The government has made investment in the transport sector a priority – both in an effort to increase foreign trade, and to reduce urban congestion and pollution. The sector has been substantially impacted by the Covid-19 pandemic, with international flights halted and pressure placed on logistics infrastructure to ensure the uninterrupted provision of essential goods. Although the likely global economic downturn following the pandemic will present challenges for the transport sector in the short to medium term, the country’s growing population, strategic location at the crossroads of various international trade routes, and steady demand for goods and transport services should ensure that the sector’s long-term prospects are positive.

Articles from this Chapter

Overview

Regional integration: A strategic position at the nexus of trades routes that connect continents ensures long-term prospects remain positive
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For Egypt, which is looking to integrate more fully into global value chains, the development of comprehensive transport infrastructure is vital to longterm growth. The government has made transport investment a priority – both in an effort to boost foreign trade, and to ameliorate the growing urban congestion and pollution arising from rapid population growth in major cities. Although the sector has felt the impact of the Covid-19 pandemic and the medium-term economic effects of the virus…

Analysis

Key connections: Government increases investment in road infrastructure to ease congestion and support economic development
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Egypt’s growing population and dynamic economy have resulted in a need for greater infrastructure development over recent years. Given that cars remain Egypt’s most popular mode of personal transportation – as do trucks for carrying cargo – this need is seen most notably in its roads; Cairo and many other cities in the country display chronic traffic congestion. As such, the Egyptian government has spearheaded significant investment in the road system to ensure that it will have the…

Analysis

Ensuring continuity: Free flow of essential goods is maintained as the logistics ecosystem adjusts to new global realities
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From the New Suez Canal to the East Port Said development, Egypt’s logistics ecosystem has expanded substantially in recent years despite headwinds resulting from the US-China trade war in 2019. However, as the Covid-19 pandemic began to spread across the world in early 2020, key transport connections were disrupted due to restrictions on cross-border travel. Maintaining a reliable logistics value chain therefore became simultaneously more important and more challenging. Covid-19 Effects Substantial…