Fitch: Egypt’s Infrastructure Boom Attracts Firms From 19 Countries

Egypt’s transport and infrastructure sector is expected to remain one of the region’s most competitive construction markets, with both domestic and international contractors aggressively competing for projects as the country pushes ahead with large-scale development plans, according to a new report by Fitch Solutions.

The research firm said the Egyptian infrastructure landscape continues to draw a broad mix of global players, with companies from 19 different countries currently active in the market, reflecting the scale of opportunities in transport, energy, and public utilities projects.

Despite the growing foreign presence, local construction giants continue to dominate major contracts. Fitch identified Orascom Construction and Arab Contractors as the strongest domestic players in Egypt’s construction and infrastructure sector.

According to the report, the two companies account for nearly 60% of projects allocated to Egyptian contractors, underscoring their central role in the country’s ongoing infrastructure expansion.

Fitch noted that Egyptian firms collectively control around 44% of all infrastructure projects nationwide, with activities spread almost evenly across transport, energy, and utilities sectors. Domestic companies remain particularly dominant in road construction and power generation projects.

At the same time, international firms continue to secure a growing share of contracts, particularly in rail transport and energy infrastructure. European and Asian contractors were highlighted as major beneficiaries of Egypt’s expanding project pipeline.

French companies currently hold the largest foreign share of Egypt’s construction market, representing roughly 14% of total infrastructure projects. Their involvement is concentrated primarily in railway developments, where they participate in 16 separate projects.

Chinese firms rank second with a 10% market share, followed by Spanish companies at 6% and American firms at 5%, according to Fitch Solutions data.

The report described the diversity of foreign participation as evidence of Egypt’s attractiveness to global infrastructure investors and contractors, especially as the government continues prioritizing mega-projects aimed at modernizing transportation networks and expanding energy capacity.

However, Fitch warned that geopolitical tensions could pose significant near-term risks to the sector. The company identified Egypt as the regional market most exposed to the economic fallout of the ongoing U.S.-Iran conflict.

While maintaining a broadly optimistic outlook for Egypt’s infrastructure industry, Fitch said the conflict could intensify pressure on the Egyptian economy through currency weakness, higher energy prices, and rising costs for imported construction materials.

The report added that prolonged geopolitical instability may strain public finances, increase inflationary pressures, and disrupt energy supplies, potentially slowing project execution timelines or forcing authorities to reprioritize infrastructure spending.