Egypt's startup ecosystem is playing a pivotal role in spearheading the digital revolution across Africa and the Middle East. Propelled by the entrepreneurial spirit of Egypt's youth, innovative ventures are crafting digital solutions spanning finance, education, healthcare, and various other sectors.
In 2021, Egypt witnessed an astounding 176% growth in its startup sector, securing a remarkable $491 million in venture capital funding, as reported by startup data platform MAGNiTT. Within the broader Middle East and North Africa region, Egypt contributed significantly, accounting for 15% of transactions and 11% of deployed capital, with particular vigor observed in e-commerce and fintech domains. Notably, Egypt has been recognized among the top 10 emerging startup ecosystems globally by Start-Up Genome, boasting a total valuation of $2.7 billion.

Forecasts suggest that the momentum of Egypt's startup sector will only intensify over the next five years, potentially witnessing the rise of five Egyptian unicorns, according to Ahmad Gomaa, Chairman and CEO of Egypt Ventures. This organization, established by the Egyptian government in 2017 to champion dynamic young entrepreneurs, is poised to catalyze this growth.
With over half of Egypt's 100 million population under 30 years old, there exists a vast reservoir of youthful talent, further fueled by approximately 300,000 graduates emerging from Egyptian universities annually. This demographic dynamism positions Egypt as a leading force in the regional digital economy. Salma AlBarkouky, co-founder of Fatura, a B2B platform facilitating retailer connections with suppliers, attests to the burgeoning startup landscape, emphasizing its transformative impact on Egypt's economy.

The devaluation of the Egyptian pound in 2016 made real estate more appealing to wealthy Egyptians due to the currency depreciation against major currencies. Foreigners can also purchase property in Egypt under specific regulations. Moreover, various reforms have been implemented recently, including the introduction of a value-added tax (VAT), amendments to the Investment Law to attract more foreign investors, and reductions in fuel and electricity subsidies.

The allure of STEM subjects among Egyptian youth is notable, as highlighted by Omar Shoukry Sakr, founder and CEO of Nawah Scientific. This enterprise is fostering startups in burgeoning sectors such as healthtech, medtech, and biotech, leveraging Egypt's strong foundation in pharmaceutical and natural sciences.
Established in 2015, Nawah Scientific offers cutting-edge research facilities to Egypt's scientific community, with aspirations to expand its footprint across Africa and the Middle East. Such endeavors not only bolster Egypt's scientific ecosystem but also attract international investor interest, buoyed by governmental support.

Egypt Ventures, in collaboration with various stakeholders, has emerged as a crucial player in nurturing startups. Noteworthy investments include Almentor, an education platform offering a vast Arabic e-learning library, and EFGEV, an accelerator fostering startups in fields like insurance tech and microfinancing.
Events like Cairo's RiseUp Summit and Alexandria's Techne Summit serve as platforms to showcase Egypt's entrepreneurial talent, attracting global attention. Success stories abound, including Swvl, Capiter, Eventtus, Elmenus, and Yodawy, underscoring Egypt's status as a burgeoning hub for innovation and entrepreneurship.

Egypt's Minister of International Cooperation, Dr. Rania A. Al-Mashat, acknowledges the vibrancy of the startup scene, citing the impressive demographic advantage, with 60% of the population below 30 years old. International investments in Egyptian startups have surged, reaching $1.2 billion between 2019 and May 2022, signifying Egypt's emergence as a leading player in the region's startup landscape.