Overview of Egypt
Population: 104 million people (2021)
GDP Per Capita (PPP): USD 12,280
Egypt tried to overcome structural problems, such as underperforming formal sectors and slugging non-oil exports. However, just when things were getting better, the pandemic and the ensuing global economic lockdown reversed the progress and revealed much greater problems. An economy that was growing at 5.56% in 2019, grew only 3.57% in 2020; further, it is set to grow at 2.47% in 2021.
With a GDP of US$ 300 billion and a population of 104 million, Egypt is a massive market. Its proximity to Europe, political stability in the last decade, and structural reforms have made it a strong economy. Its economy is the second-largest in Africa after Nigeria.
- Egypt boasts of a robust agricultural sector that employs around 24 million people. It is the world’s largest producer of dates. Additionally, it is a world-leading producer of crops such as figs, onion, eggplant, strawberry, tomato, and watermelon. Egypt exported 4.8 million tons of agricultural produce from 2019 to 2020 worth $2.16 billion. It plans to boost the profit to USD 2.2 billion this year.
- The textile and clothing sector is one of the largest employers in Egypt. It contributes around 3% to the GDP and consists of 27% of its industrial output. More than 300,000 workers are employed in this sector. The country’s largest export partner is the USA, which accounts for 80% of its exports.
- The steel industry in Egypt is a massive one. It is the world’s 23rd largest producer of steel, and it produced 7.3 million tons in 2020. It exported around USD 700 million of steel in 2020. Steel is a core industry whose production impacts many other sectors.
- The tourism industry contributed nearly USD 32 billion to its GDP in 2019. Due to the pandemic, the figure dropped to just USD 14.4 billion in 2020. Tourism will bounce back as world travel returns to normal. The sector is a major source of foreign currency and economic activity in the country. In 2019, it employed 2.4 million people, and the figure decreased to 1.6 million in 2020 due to the pandemic.
The average download speed in Egypt is about 98.67 Mbps. The upload speed is slower, at 53.22 Mbps.
To know more about hiring remote employees in Egypt, book a demo with Skuad now.
Hiring Cost in Egypt
Cost of Living
According to Mercer, an American asset management firm, Cairo stood at 126 out of 209 countries whose cost of living was ascertained. The city is a financial hub and a major tourist attraction because of which the cost will be higher than other cities. Cities such as Luxor, Giza, and Alexandria are even more affordable than Cairo.
Calculating the cost of living is not an easy task. It depends on a variety of factors such as the city, the standard of living, and family composition. However, we can figure out the average cost of various things in Egypt and make an estimation.
A Breakdown of the Average Cost of Living in Egypt
A Breakdown of Various Essentials in Egypt
The cost of living for a family of four without rent would come to about USD 1,347.87 (EGP 21,110) in a year. For a single person, the cost would be USD 379 (EGP 5,937). The average monthly salary after tax is EGP 3,428.
Hiring Cost to Company
Hiring costs cannot be ignored. Managers and HR personnel invest significant hours in hiring suitable candidates. The opportunity cost of hiring when the current employees could be doing tasks that would take the company forward is substantial. Even then, there is no guarantee that the new hires will be suitable for the organization.
Skuad experts can help you handle global talent seamlessly, whether it concerns vetting, recruiting, hiring, or onboarding employees. Get in touch with us to learn more!
Talent in Egypt
The Top Sectors and Top Skills Needed in Egypt
Egypt’s textiles sector suffered a contraction in 2021 but is still attracting huge investments. The government wants to expand the textile market as it employs a significant number. It is modernizing its infrastructure.
Top Skills: In the coming years, skills such as creativity, technical knowledge, and commercial awareness of the industry will be key for individuals looking to find employment.
Egypt’s food industry exported around USD 3.2 billion of products in the first 11 months of 2020. Even with the pandemic, it saw year-on-year growth in the sector. It accounts for 13% of Egypt’s non-oil exports.
Top Skills: Skills needed in this sphere are engineering (mechanics and electrical), agricultural expertise, creativity, and technical know-how.
The Pyramid of Giza, the Great Sphinx, the Nile River, the Valley of the Kings, and many more tourist sites attract millions of tourists to Egypt every year. The travel industry employs around two million people and generates a substantial amount of revenue for the Egyptian government.
Top Skills: Skills needed in this sector are networking expertise, communication ability, organizational efficiency, and time management skills.
Top Skills: City-Wise Breakdown
Every city has different industries and infrastructure. The skills needed in different Egyptian cities vary. Here are the required top skills in different cities.When there’s so much talent on offer, it becomes tricky to hire the right set of people for your team. Skuad can help you find, hire, and manage excellent local talent and make expansion in Jordan a hassle-free task.
When there’s so much talent on offer, it becomes tricky to hire the right set of people for your team. Skuad can help you find, hire, and manage excellent local talent and make expansion in Jordan a hassle-free task.
Salary Structure for Various Roles in Egypt
The following table reflects the average annual salary drawn by employees of various sectors in Egypt.
Learn more about Egypt’s diverse salary structures by talking to Skuad experts.
Employment Laws in Egypt
- In Egypt, the maximum working hours are eight hours per day and 48 hours per week.
- Employees who have worked for one year with an employer are entitled to 21 days of annual leave.
- Female employees covered by social security insurance are entitled to three months of paid maternity leave for up to three children. Additionally, women are also entitled to two-and-a-half-hour nursing breaks.
- The Egyptian labor law is silent on paternity leave.
Egypt’s labor laws consist of the following legislations.
- Law No. 12/2003, regulating relations between employers and employees in the private sector
- Law No. 47/1978, governing civil servants
- Law No. 48/1978, governing public sector employees
- Law No. 203/1991, addressing special requirements for employees working in the public commercial sector of the state
Numerous decrees complement the legislation above. For issues that are not covered by any legislation, the Egyptian Civil Code applies.
Skuad’s EOR solutions for Egypt can help expand your business while adhering to the tax legislation, labor laws, and contracts.
How Can Skuad Help You in Hiring in Egypt?
In the last decade, Egypt has made tremendous economic progress. It is the second-largest economy in Africa and has an immensely talented workforce. Companies looking to hire in Egypt can save on hiring costs and employment-related responsibilities such as onboarding and training with the help of Skuad. It’s the perfect solution to build, pay, and manage a team in Egypt. Hire exceptional talent from Egypt with the help of Skuad. Connect with Skuad experts to know more.