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Published on 21 July 2026

Egypt: Country Context

Egypt occupies a unique place on the world map and in Switzerland's cooperation agenda. Positioned at the crossroads of North Africa, the Horn of Africa and the MENA region, it is the most populous country in the Arab world and a key driver of regional stability and economic integration. Switzerland and Egypt share a long history of partnership, rooted in mutual respect and a shared commitment to sustainable development. Since 1979, Switzerland has walked alongside Egypt through periods of significant change, and the Cooperation Programme 2025–2028 marks the fourth comprehensive chapter of this engagement, brought together under a whole-of-government approach involving the Swiss Agency for Development and Cooperation (SDC), the State Secretariat for Economic Affairs (SECO) and the State Secretariat for Migration (SEM).

Within the framework of the Swiss cooperation programme with Egypt, SECO supports macro-economic reforms as well as more sustainable and inclusive economic development to the benefit of the population.

Egypt's development trajectory reflects both the country's considerable strengths and the weight of the challenges it carries. Over recent years, a succession of external shocks, including the Covid-19 pandemic, regional conflicts and disruptions to Suez Canal revenues, have placed significant pressure on public finances and exposed structural vulnerabilities that predate these crises. High levels of external debt, a sizeable informal economy, persistent poverty and marked inequalities between urban and rural areas continue to shape the daily realities of many Egyptians, with women, youth and people living in Upper Egypt among those most affected.

In response, the Egyptian government has undertaken a wide-ranging macroeconomic reform programme, in partnership with the International Monetary Fund, aimed at stabilising the economy, improving fiscal management and creating conditions more conducive to private investment. These efforts reflect a genuine political commitment to reform, even as their implementation in a complex environment takes time to translate into tangible improvements for the population.

Egypt's geographic position also makes it one of the most significant transit and destination countries for migrants and displaced people in the region. The arrival of large numbers of refugees, particularly from Sudan, has placed additional pressure on an already stretched system of public services and protection, calling for a coordinated and compassionate response from the government and the international community alike.

Looking ahead, Egypt's Vision 2030 agenda sets out an ambitious path towards a more diversified, knowledge-based economy. Realising this vision will require continued progress on governance, institutional strengthening and expanding access to quality public services. Switzerland remains a committed partner in this journey, bringing expertise, continuity and a long-term perspective to one of its most important bilateral cooperation relationships.

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