Why Egypt?
The Opportunity
The Middle East/North Africa (MENA) region offers a unique growth opportunity for Internet-based businesses. With a Gross Domestic Product (GDP) of over $2.4 trillion, the MENA region has a population of over 376 million people. According to Madar Research, the combined Arab GDP grew more than 23 percent during 2005, pushing per capita growth to record highs.
As the second largest Arab Internet market, Egypt has become a regional powerhouse – both culturally and economically. Its position between the Mediterranean and Red Seas makes it a major crossroad between Europe, Western Asian and Eastern Africa.
Egypt has over 71 million people with a purchasing power of $304 billion. Over the last five years, Internet usage has increased over 900 percent with users now numbering over five million. Establishing a position of strength within Egypt presents an extraordinary growth opportunity for entrepreneurial, forward-thinking businesses.
Poised for Growth
As one of the region’s most competitive marketplaces, Egypt is ripe for growth. The establishment of an independent National Telecom Regulatory Authority (NTRA) reduced government control on telecommunications sector investments. In addition, Egypt’s government is committed to promoting the technology sector through incentives that provide multi-year tax holidays on telecommunications-related investments and a moratorium on taxes for IT-related software services.
The country has also invested heavily in its telecommunications infrastructure and now boasts the largest fixed-line network in the region, offering easy access to worldwide markets through submarine fiber systems linking the Middle East to Southeast Asia and Europe.
Innovation
Egypt represents a solid market for multinational, Internet-based businesses seeking a global presence. Companies such as AIG, Computer Associates, SAP, Oracle, Siemens, Ericsson, Alcatel, Vodafone, Intel, Citibank, Microsoft, IBM, HP, Cisco, VISA International, Nortel, Xerox, Lucent, and General Dynamics, are successfully operating in Egypt.
Ideally positioned as a competitive, robust marketplace, Egypt offers innovative companies the chance to arrive first-to-market to create early customer loyalty and stake a firm position for future growth.
