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Cairo, July 13, 2025:
In a strategic move that underscores Egypt’s commitment to a sustainable green economy, Entlaq for Strategic Consulting and Research, in collaboration with the Ministerial Group for Entrepreneurship and the Ministry of Planning, Economic Development, and International Cooperation, has launched a landmark national report titled: “Cleantech and Energy in Egypt 2025: Between Climate Imperatives and Economic Opportunities”.
This report presents the first comprehensive diagnostic of Egypt’s cleantech ecosystem through a political, regulatory, and market lens.
It comes at a critical juncture as the global cleantech sector—spanning renewable energy, smart water solutions, energy efficiency, and climate-resilient innovation—becomes one of the most competitive and strategically financed sectors worldwide.
In 2024 alone, infrastructure finance across the Middle East and Africa reached USD 152.3 billion, with clean energy investments accounting for over USD 21.5 billion.
Countries in the region are rapidly scaling their cleantech ecosystems through targeted regulation, capital mobilization, and innovation hubs—making it imperative for Egypt to move quickly, not just to catch up, but to lead.
Domestically, climate-related vulnerabilities intersect with structural challenges such as water scarcity, industrial energy inefficiency, and rising employment pressures, placing additional socioeconomic burdens.
Yet Egypt holds unique, underutilized advantages: a strong STEM talent pool, one of the largest renewable energy potentials in the region, a high-potential startup ecosystem, and a strategic geographic location connecting Africa, Europe, and the Gulf.
The report focuses on two strategic domains: EnergyTech—including renewable energy, smart grids, energy storage, and green hydrogen—and WaterTech—including greywater reuse, desalination, and digital water management.
It draws on a robust methodology that includes high-level roundtables with government, the private sector, and startups, as well as extensive secondary data analysis and targeted field research including interviews and surveys.
The report identifies five cross-cutting structural barriers hindering the growth of cleantech in Egypt. First, regulatory fragmentation limits startup growth, with challenges in licensing, delayed industrial registration, and unclear net-metering policies—particularly when benchmarked against countries like Saudi Arabia, Morocco, and India.
Second, green finance remains limited and unevenly distributed, with Egypt receiving less than 17% of Africa’s climate venture capital in 2024.
Third, there are infrastructure gaps, including limited access to testing labs, grid integration facilities, and cleantech-ready industrial zones, in contrast with global models like India’s Clean Energy Centres and the EU’s InnoEnergy Highway.
Fourth, adoption of cleantech solutions remains low among both consumers and public institutions due to limited awareness, lack of incentives, and underdeveloped promotion programs.
Finally, while Egypt possesses clear comparative advantages, activating them will require integrated reforms across policy, regulation, finance, infrastructure, and talent development.
The report outlines an ambitious vision to position Egypt as a regional hub for green innovation.
It calls for the enactment of a dedicated cleantech startup law, the introduction of financial incentives for energy and water innovation, and reforms in public procurement policies to stimulate technology adoption.
It also emphasizes the need to channel capital toward women-led and gender-diverse ventures and to align Egypt’s national strategies with global best practices, adapted to local realities.
To realize this vision, the report urges the formation of a multi-stakeholder national and regional coalition that brings together the public and private sectors, academia, and civil society to accelerate Egypt’s green industrial transformation and fulfill its sustainable development goals.
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