Egypt has moved up five positions in the 2025/2026 Global Entrepreneurship Index, reinforcing its position as one of the leading entrepreneurship ecosystems in the Middle East and North Africa, according to a new report released by the Egyptian Cabinet's Information and Decision Support Center (IDSC).

The report, published as part of the center's periodic publication "Egypt in International Indicators: From Challenges to Achievements," highlights the country's recent progress across several global competitiveness rankings.

Egypt Rises in Global Entrepreneurship Rankings

According to the Global Entrepreneurship Monitor (GEM) 2025, Egypt ranked 35th out of 53 economies, improving from 40th place in the previous 2024/2025 edition.

The index evaluates entrepreneurial ecosystems through 13 key indicators, including access to finance, infrastructure, education, government support, innovation, and cultural attitudes toward entrepreneurship.

The report attributes Egypt's improved ranking to gradual progress in financing opportunities, infrastructure development, and a stronger entrepreneurial culture.

Startup Ecosystem Continues to Expand

Egypt has also strengthened its position in the Global Startup Ecosystem Index, climbing 16 places over the past six years.

The country now ranks 65th globally out of 118 countries in the 2026 startup ecosystem rankings, reflecting continued improvements in the business environment for startups and innovation-driven companies.

Cairo remains one of North Africa's most prominent startup hubs, hosting Egypt's first unicorn startup while accounting for approximately 90% of the country's startup ecosystem.

The capital is home to an estimated 632 startups, representing around four startups per 100,000 residents, while recording annual ecosystem growth of 0.7% in 2025.

The report also notes that Egypt has maintained its position as North Africa's leading entrepreneurship ecosystem since 2021.

Large Market and Growing Digital Economy

The report identifies several structural advantages supporting entrepreneurship in Egypt.

With a population exceeding 110 million, Egypt offers one of the region's largest consumer markets, creating significant opportunities for startups and SMEs.

The government continues to prioritize entrepreneurship under Egypt Vision 2030, with policies aimed at supporting innovative startups and expanding small and medium-sized enterprises.

Egypt also benefits from a large talent pool, producing hundreds of thousands of graduates annually, helping place the country among the world's top ten startup ecosystems for affordable talent availability.

Digital competitiveness has also improved through faster internet connectivity, broader adoption of digital technologies by businesses, and expanding government e-services.

Strong Institutional Support for Entrepreneurs

Government-backed institutions continue to play a central role in supporting startups and SMEs.

Organizations such as the Micro, Small and Medium Enterprise Development Agency (MSMEDA) provide financing programs and business support services designed to help entrepreneurs launch and expand their businesses.

Entrepreneurial ambitions also remain high among Egyptians, with 47% of individuals not currently involved in entrepreneurial activities expressing interest in starting a business within the next three years, according to the report.

Cairo has also become increasingly attractive for investment, particularly in fintech and mobility startups, supported by growing venture capital activity, digital payments, electronic wallets, and broader financial inclusion.

Opportunities for Future Growth

The report highlights multiple opportunities to further strengthen Egypt's entrepreneurial ecosystem.

These include expanding advisory and financing services for SMEs, improving financial inclusion for youth and women, enhancing regional entrepreneurship programs, and strengthening startup incubators, mentorship initiatives, and entrepreneurial networks.

Egypt also plans to increase the availability of seed funding, early-stage financing, and venture capital targeting high-growth, innovation-driven startups.

Government Policies Supporting Entrepreneurship

The report outlines several government initiatives aimed at creating a more supportive regulatory environment.

Among them is Law No. 152 of 2020, which introduced reforms to improve the legislative framework governing micro, small, and medium-sized enterprises.

Banks have also been required to allocate at least 25% of their total lending portfolios to MSMEs, with a minimum of 10% directed specifically toward small businesses.

Additional measures include:

Establishing dedicated SME divisions within banks.
Allocating 30% of available industrial, tourism, urban, and reclaimed agricultural land to MSMEs.
Reserving at least 40% of government procurement contracts for small businesses.
Launching initiatives to empower women entrepreneurs.
Investing approximately EGP 300 billion in education, healthcare, employment, and social protection programs supporting women between 2020/2021 and 2024/2025.

Expanding Startup Support Programs

The report also highlights several national initiatives supporting innovation and entrepreneurship.

These include technology incubators providing startups with shared workspaces, technical assistance, legal support, and mentoring during early development stages.

Among the featured initiatives is the MOYS Sports Technology Business Incubator, launched by the Ministry of Youth and Sports in partnership with the Academy of Scientific Research and Technology and Nile University.

The incubator provides financial support of up to EGP 200,000, alongside legal services, mentoring, co-working spaces, and investor networking opportunities for startups developing AI, blockchain, virtual reality, and sports technology solutions.

The Ministry of Communications and Information Technology's Creativa Innovation Hubs continue expanding across multiple governorates, helping young people develop digital skills aligned with labor market demands while supporting entrepreneurship, freelancing, and remote work.

Meanwhile, the Digital Egypt Pioneers Initiative provides specialized training programs for students and graduates in advanced digital technologies to prepare talent for the country's growing digital economy.

Ministerial Group for Entrepreneurship

The Egyptian government also established a dedicated Ministerial Group for Entrepreneurship under Prime Ministerial Decree No. 2878 of 2024.

The initiative aims to coordinate national policies supporting startups, strengthen innovation, expand international market access, encourage knowledge-based economic growth, and create quality employment opportunities.

Its objectives include supporting startup expansion abroad, connecting innovative companies with national development challenges, reducing brain drain, and encouraging labor-intensive startups led by young entrepreneurs and women.

Looking Ahead

The report outlines ambitious future targets for Egypt's entrepreneurship ecosystem.

These include promoting entrepreneurship education across schools and universities, supporting up to 5,000 startups, creating approximately 500,000 direct and indirect jobs, and attracting $5 billion in venture capital investment, including $1 billion through a unified financing initiative.

Under Egypt Vision 2030, the government also plans to strengthen links between scientific research, innovation, and commercial startups while improving public procurement opportunities and policy support for SMEs.

The report concludes that Egypt is steadily building a more competitive entrepreneurial ecosystem through regulatory reforms, digital transformation, expanded financing, and long-term investments in innovation and human capital.