This OECD Review of Innovation Policy: Egypt 2026 is part of the OECD Reviews of Innovation Policy series (https://www.oecd.org/sti/inno/oecd-reviews-of-innovation-policy), and has been conducted within the framework of the broader OECD-Egypt Country Programme. The report provides evidence-based recommendations to help strengthen its science, technology, and innovation (STI) system.
Egypt faces a dynamic set of opportunities and challenges, from accelerating digital transformation and fostering industrial diversification and competitiveness, to addressing socio-economic disparities and responding to challenges such as climate change and demographic shifts, notably population growth and high youth unemployment. These national and global challenges have revealed both the strengths and limitations of Egypt’s current development model and STI system, underscoring the urgent need for coherent, forward-looking policy reforms. While Egypt has made strides in expanding digital infrastructure and fostering entrepreneurship – particularly among its growing youth population – emerging technologies and global trends are also disrupting traditional sectors and exposing gaps and shortcomings in the framework conditions, institutional government co-ordination, industry-science links, innovation skills and private research and development (R&D) and innovation capacity. At the same time, Egypt’s strategic geographic position and large domestic market offer significant potential to deepen its integration into global value chains and drive inclusive, innovation-led growth. In this context, STI policy has a critical role to play in enabling Egypt to achieve its economic and societal ambitions.
As the first comprehensive assessment of Egypt’s National Innovation System undertaken by the OECD, this review builds on insights from key stakeholders across Egypt’s public and private sectors as well as international good practices. By offering a systemic analysis of Egypt’s innovation landscape and tailored policy recommendations, this review aims to support national efforts to unlock the full potential of innovation as a driver of progress for Egyptian society. The findings and recommendations serve as a knowledge base for the Egyptian government to review, reform, and refine existing policies; assess their alignment with national development goals; identify systemic weaknesses; and adopt robust mechanisms for continuous evaluation and implementation to ensure the effective delivery of its innovation strategies. In addition, the review aims to support capacity building in STI statistics, building on the complementary assessment and recommendations document OECD support towards STI statistical capability development in Egypt: Assessment and main recommendations. It encourages the integration of data on Egypt’s STI systems and policies into international platforms to strengthen Egypt’s presence in global STI monitoring efforts, such as through its continued inclusion in the OECD STI Scoreboard and STIP Compass.
The comprehensive review is relevant to a wide array of stakeholders, including government officials, researchers, entrepreneurs, and the broader public in Egypt, as well as in other emerging and developing economies and OECD Member countries, since the transitions shaping innovation systems are global in nature.