Employment rate in Egypt stands at 90.1%: CAPMAS report reveals
In the spirit of International Labor Day, a statement by the Egyptian national statistics agency, the Central Agency for Public Mobilization and Statistics (CAPMAS) revealed that the Egyptian workforce reached around 28 million with a whopping 90.1% employment rate at the end of 2018.
According to CAPMAS, the unemployment rate in the last quarter of 2018 is 8.9% with 2.492 million people unemployed against 11.8% the previous year. About 21.3 percent of these unemployed are women while men make up about 6.8 percent.
Interestingly, more people are employed in rural areas than in urban cities where over 16 million people are employed in provincial towns and nearly 12.2 million in cities. The report also stressed that “with regard to economic activities, the agriculture and fishing sectors have the highest rate of workers”.
The Minister of Manpower Mohamed Saafan said in March that “the unemployment rate in Egypt fell from 13.3% in the second quarter of 2014 to 8.9% in the fourth quarter of 2018 due to the ongoing national megaprojects. “.
The public sector has made several efforts such as the introduction of several megaprojects including the power station, the expansion of the Suez Canal, road extensions, the new administrative capital, all of which employed thousands of Egyptians.
The Egyptian Strategy for Sustainable Development, or Vision 2030, aims to reduce the current unemployment rate to 4% for the foreseeable future.
By 2028, Egypt’s working-age population will have grown by 20% to reach a labor force of 80 million Egyptians who will all need jobs, said a declaration by the IMF.
Currently, CAPMAS estimates that the Egyptian population is over 98 million.
“Egypt must build on its recent economic successes by deepening its reforms. The main thing is to focus on job creation, ”said David Lipton, the IMF’s first deputy managing director, who also explained that job creation will be Egypt’s biggest economic challenge.
In recent years, Egypt’s economy has suffered largely from the political instability that has affected its main sector, tourism. In 2016, the economy was hit by rising inflation, the rise of government and instability. However, recently, reform programs supported by the IMF and implemented by the government have resulted in an overall economic improvement with inflation falling to 11%.
A recent Harvard report recorded that Egypt was the third fasting developing economy in the coming decade.
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