Egypt Places Digital Infrastructure at the Centre of Its Economic Strategy

Ahmed Kamel – Egypt Daily News

Egypt News

Egypt is preparing to deepen its transition toward a digital economy by expanding high-speed mobile networks, developing data centres and increasing the use of artificial intelligence across government and business. The programme combines infrastructure investment with plans to grow technology exports, support electronics manufacturing and modernise access to public services.

The priorities were reviewed during a meeting attended by President Abdel Fattah El-Sisi, Prime Minister Mostafa Madbouly and Communications and Information Technology Minister Raafat Hindi. Major General Hany Mahmoud Mansour, director of the Signal Corps of the Egyptian Armed Forces, also attended.

The president instructed officials to accelerate the expansion of fifth-generation mobile networks while improving the resilience of the telecommunications system. The government also wants to reduce risks created by excessive dependence on a limited number of infrastructure points or service providers. The objective is to ensure that communications services remain reliable as demand for mobile data, cloud computing and digital applications continues to grow.

Egypt launched nationwide 5G services in June 2025 through its four main mobile operators: Vodafone Egypt, Orange Egypt, e& Egypt and Telecom Egypt. Initial coverage focused on densely populated locations, including Cairo, Alexandria and the New Administrative Capital. The government has said that coverage will expand further as operators invest in networks and receive additional spectrum.

The authorities are also extending fibre-optic connections. Under the Hayah Karima, or Decent Life, programme, fibre networks have been deployed to more than 1,250 villages. The project is intended to improve internet speed and reliability in rural areas and reduce the gap between urban and rural communities.

The government’s digital agenda extends beyond telecommunications. Officials are continuing work on the Unified Government Services Card, which is designed to allow citizens to obtain several public services through an integrated system. A pilot project in Port Said previously benefited approximately 200,000 people and was presented as a model for wider national implementation.

The card system requires government databases to work together and depends on accurate information, secure authentication and reliable operating procedures. The president ordered regular monitoring of the project to assess the integration of databases and the quality of services delivered to users.

Egypt is also seeking to increase the economic contribution of its information and communications technology sector. The Ministry of Communications and Information Technology has set a target of raising outsourcing and digital-services exports to $8 billion by 2028. A separate government target calls for outsourcing exports to reach $12 billion by 2029.

The sector recorded outsourcing exports of approximately $5.2 billion in 2025, according to figures presented by the ministry. Employment in the industry has also expanded. Agreements with 55 local and international companies are expected to create about 75,000 jobs over three years.

Electronics manufacturing is another part of the strategy. Mobile-phone production in Egypt rose from about three million devices in 2024 to approximately 10 million in 2025. The government is seeking to exceed 15 million units during 2026 and reach annual production capacity of 30 million devices by 2028. It also aims to increase the share of locally produced components to about 45%.

Egypt’s plans include expanding the number of companies involved in electronics design. The government has set a target of 120 such companies by 2030, linking the sector to manufacturing, exports and the development of specialised technical skills.

Artificial intelligence is being treated as a strategic area of development. The ministry has been working on the second edition of Egypt’s National Artificial Intelligence Strategy, which focuses on using AI to support economic activity, public services and technological innovation.

The Applied Innovation Centre is developing applications based on emerging technologies, including artificial intelligence. Officials have also referred to the “Karnak” programme, which is intended to support the development of Arabic-language generative AI applications and strengthen Egypt’s technological independence.

The government plans to attract investment in cloud-computing services and large data centres. These facilities are needed to store and process data, operate online platforms and support AI systems. Egypt’s location and international connectivity are being promoted as advantages for investors seeking to serve markets in Africa, the Middle East and Europe.

A national data-centre strategy is being prepared, with the stated goals of attracting domestic and foreign investment, supporting cloud services and increasing Egypt’s role in regional digital infrastructure. Cybersecurity is being treated as a parallel priority because the expansion of connected systems increases the need to protect government networks, businesses and citizens’ information.

The meeting also reviewed the Digital Egypt Generations initiative, which is being implemented with the Egyptian Military Academy. The programme aims to prepare participants for jobs requiring digital and technical skills. El-Sisi directed officials to apply transparent and impartial criteria when selecting beneficiaries.

The government is also taking measures concerning children’s exposure to harmful online content. A joint decision by the Supreme Council for Media Regulation and the National Telecommunications Regulatory Authority addresses protections for children under 15.

Taken together, the measures show that Egypt’s digital policy is focused on more than network expansion. The government is linking 5G, fibre-optic infrastructure, online public services, AI, data centres, cybersecurity, electronics manufacturing and workforce development within one economic programme. Its stated aim is to improve public services, create technology-related employment and establish Egypt as a regional centre for digital business and data infrastructure.

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