{"id":658087,"date":"2025-01-05T00:00:00","date_gmt":"2025-01-05T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2025\/01\/05\/growth-picks-up-to-3-5-in-1q-fy-2024-25-despite-drops-in-energy-production-and-suez-canal-revenues\/"},"modified":"2025-01-05T00:00:00","modified_gmt":"2025-01-05T00:00:00","slug":"growth-picks-up-to-3-5-in-1q-fy-2024-25-despite-drops-in-energy-production-and-suez-canal-revenues","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2025\/01\/05\/growth-picks-up-to-3-5-in-1q-fy-2024-25-despite-drops-in-energy-production-and-suez-canal-revenues\/","title":{"rendered":"Growth picks up to 3.5% in 1Q FY 2024-25 despite drops in energy production and Suez Canal revenues"},"content":{"rendered":"<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"> <strong>GDP growth was up 0.8 percentage points y-o-y in 1Q FY 2024-2025<\/strong>, coming in at 3.5% y-o-y for the three month period, according to a statement from the <a target=\"_blank\" href=\"https:\/\/www.facebook.com\/EgyptianCabinet\/posts\/pfbid027L76VRL8YdYuTv3EwbNuc31B5udLcofnPUdCmHJEUYRLpN1jmPZnU6yjJ3pfG7yjl\" style=\"\" rel=\"noopener\">Planning and International Cooperation Ministry<\/a>. The figures mark a recovery from the slowdown in <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/ae89b759-6a16-4e52-b68e-331466bd07d3\/it%25e2%2580%2599s-day-two-of-davos#:~:text=Economic%20growth%20slowed%20to%202.65%25%20y%2Do%2Dy%20in%201Q%20FY%202023%2D2024%2C%20according%20to%20new%20data%20by%20the%20Planning%20Ministry.%20That%E2%80%99s%20down%20from%204.4%25%20y%2Do%2Dy%20in%20the%20first%20quarter%20of%20FY%202022%2D2023%20and%202.9%25%20y%2Do%2Dy%20in%20the%20final%20quarter.\" style=\"\" rel=\"noopener\">1Q FY 2023-2024<\/a>, which had declined sharply from the <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/d75bfe34-54bc-4992-948a-f9c59284b879\" style=\"\" rel=\"noopener\">4.4% a year earlier<\/a> amid global economic headwinds and domestic challenges. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Non-oil manufacturing picks up steam with customs relief: <\/strong>Customs clearance facilitation for production inputs has helped drive a resurgence in non-oil manufacturing, which expanded 7.1% y-o-y in 1Q, marking its second consecutive quarter of growth. Government data suggests industrial output rose 6%, recovering from last year\u2019s 7.7% contraction, with export-led sectors like chemicals, fertilizers, and ready-made garments leading the way.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Improvements were seen across the board:<\/strong> Transport and storage (+15.6%), ICT (+12.2%), tourism (+8.2%), electricity (+7.4%), social services including health and education (+4.5%), and agriculture (+2.7%) all posted growth. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>But Suez Canal revenues plunged and energy output stumbled: <\/strong>Suez Canal revenues plunged 68.4% y-o-y in 1Q as geopolitical tensions slashed transit volumes, delivering a sharp blow to one of Egypt\u2019s main revenue streams. The energy sector also struggled, with extraction activity contracting 8.9% y-o-y amid sluggish oil and gas production. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Private spending up, public investment down:<\/strong> Private investments rose 30% y-o-y in 1Q to EGP 133.1 bn, up from EGP 102.3 bn last year, driven by stricter governance on public spending. Public investments, meanwhile, contracted 60.5%, falling to EGP 57 bn from EGP 144.4 bn in 1Q FY 2023\/24.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>The bigger picture: <\/strong>The Planning Ministry projects GDP growth of 4.0% for FY 2024-2025, supported by private sector reforms and gradual economic recovery. <\/p>\n","protected":false},"excerpt":{"rendered":"<p>Non-oil manufacturing grew 7.1% y-o-y in 1Q, marking its second consecutive quarter of growth<\/p>\n","protected":false},"author":1,"featured_media":658088,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7206],"tags":[104,93,72,348,131,7103],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-658087","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","tag-economy","tag-energy","tag-enterpriseam","tag-gdp","tag-manufacturing","tag-suez-canal","wpautop","entry"],"acf":{"mongo_id":"f89d1d7c-341d-4d85-a671-0d1a12ecf4b5","order":"4","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2023\/11\/1514.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Egyptian GDP growth picks up to 3.5% in 1Q FY 2024-25 despite drops in energy production and Suez Canal revenues","related_issue":[658082],"teaser":"Non-oil manufacturing grew 7.1% y-o-y in 1Q, marking its second consecutive quarter of growth","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2025\/1\/.8eecd97e-3da4-4b90-bb7f-e7e67cafb5e2.mp3"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Growth picks up to 3.5% in 1Q FY 2024-25 despite drops in energy production and Suez Canal revenues - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2025\/01\/05\/growth-picks-up-to-3-5-in-1q-fy-2024-25-despite-drops-in-energy-production-and-suez-canal-revenues\/\" \/>\n<meta property=\"og:locale\" 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&quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2025\/1\/1760.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":555750,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/11\/25\/egypt-economy-grows-at-fastest-pace-in-2-decades-in-1q\/","url_meta":{"origin":658087,"position":3},"title":"Egypt economy grows at fastest pace in 2 decades in 1Q","author":"enterpriseam admin","date":"25 November 2021","format":false,"excerpt":"Egypt\u2019s economy grew at its quickest pace in two decades in 1Q 2021-2022, as it continued to rebound from last year\u2019s slump in activity caused by the covid-19 pandemic. GDP expanded at an annual 9.8% clip during the July-September period, boosted by a continued recovery in the country\u2019s hospitality sector\u2026","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2021\/11\/595.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":577604,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/11\/29\/economy-grew-4-4-y-o-y-in-the-first-quarter-of-2022-despite-global-headwinds\/","url_meta":{"origin":658087,"position":4},"title":"Economy grew 4.4% y-o-y in the first quarter of 2022 despite global headwinds","author":"enterpriseam admin","date":"29 November 2022","format":false,"excerpt":"Egypt\u2019s economy grew 4.4% y-o-y in 1Q FY 2022-2023, according to preliminary data from the Planning Ministry. GDP growth in the first quarter of the state\u2019s current fiscal year (which starts in July) came despite continued global headwinds thanks to the pandemic, the war in Ukraine, and climate change, Planning\u2026","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/11\/471.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":654427,"url":"https:\/\/enterpriseam.com\/egypt\/2024\/11\/03\/egypts-budget-deficit-narrows-to-2-2-during-1q-of-fy-2024-25\/","url_meta":{"origin":658087,"position":5},"title":"Egypt\u2019s budget deficit narrows to 2.2% during 1Q of FY 2024-25","author":"enterpriseam admin","date":"3 November 2024","format":false,"excerpt":"The first quarter of FY 2024-25 saw positive trends across Egypt\u2019s budget deficit and revenues","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2024\/7\/1404.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/658087","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=658087"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/658087\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/658082"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media\/658088"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=658087"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=658087"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=658087"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=658087"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=658087"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}