Real estate projects under construction in Egypt reached a value of $500 bn by the end of the first six months of 2023, according to a report by global property intelligence JLL.

The recent figures show Egyptian real estate market performing positively despite the current economic crisis in the country. The value of real estate projects launched in Egypt is expected to grow by an average annual rate of 9% between 2024 and 2027. Notably, in the first half of 2023, $771 mn worth of residential real estate projects were launched in Egypt.

“While global interest rate hikes, high levels of inflation and a sluggish trade recovery continued to impact the construction industry globally, the (MENA) region stood out as an anomaly showcasing a sustained growth trajectory,” said Laura Morgan, Market Intelligence Lead MEA at JLL.

“With an impressive project pipeline surpassing $3 trln, led predominantly by nations like the UAE, Saudi Arabia, and Egypt, the construction sector promises more than just stability in the forthcoming period. It is slated to exhibit enduring growth, remaining the cornerstone of economic development and diversification in the MENA region.” Morgan added.

According to JLL’s report, Egypt, Saudi Arabia, and the UAE collectively account for 60% of total projects under construction in the MENA region.

Developers were working on $1.3 tn worth of real estate projects in Saudi Arabia in H1 2023. The UAE had a total project under construction of $500 bn in the same period.

Furthermore, JLL’s data expects the Saudi and Emirati construction markets to grow at an average annual rate of 4% and 3%, respectively, between 2024 and 2027.