Productivity Review of Egypt

Annex C. Additional figures and tables related to productivity

Annex Figure C.1. Public investments in million EGP

Note: The left-hand axis shows the public investment level for the manufacturing sector excluding “petroleum” and the right-hand axis shows total public investments.

Source: MPED (n.d.[1]), Public Investments (database), https://mped.gov.eg/Investment?lang=en.

Annex Figure C.2. Value added of manufacturing as a percentage of total value added of the economy

Note: The graph plots the percentages of the manufacturing sector value added (at 2020 prices) compared to total economy value added.

Sources: Department of Statistics (n.d.[2]), Annual Accounts (database), https://dosweb.dos.gov.jo/nationalaccount/annual-accounts/; INS (n.d.[3]) Employment (database), https://www.ins.tn/en/statistiques/151; MPED (n.d.[4]), National Accounts Data (database), https://mped.gov.eg/Analytics?id=61&lang=en&National-Accounts-Data; and OECD (n.d.[5]), National accounts (database), https://data-explorer.oecd.org/?fs[0]=Topic%2C1%7CEconomy%23ECO%23%7CNational%20accounts%23ECO_NAD%23&pg=0&fc=Topic&bp=true&snb=158.

Annex Figure C.3. Manufacturing value added at constant prices

Note: The graph shows the trends in value added in constant prices (at 2020) from 2010 to 2023 (2010=100).

Sources: Department of Statistics (n.d.[2]), Annual Accounts (database), https://dosweb.dos.gov.jo/nationalaccount/annual-accounts/; INS (n.d.[3]) Employment (database), https://www.ins.tn/en/statistiques/151; MPED (n.d.[4]), National Accounts Data (database), https://mped.gov.eg/Analytics?id=61&lang=en&National-Accounts-Data; and OECD (n.d.[5]), National accounts (database), https://data-explorer.oecd.org/?fs[0]=Topic%2C1%7CEconomy%23ECO%23%7CNational%20accounts%23ECO_NAD%23&pg=0&fc=Topic&bp=true&snb=158.

Annex Figure C.4. Share of employment in manufacturing over total employment

Note: The figure shows manufacturing employment as a proportion of total employment (%) across countries (Panel A) and over time for Egypt (Panel B). Data for Brazil, Egypt, South Africa, Thailand, Türkiye and Viet Nam refer to 2024. Data for Jodan, Indonesia and the Philippines refer to 2023. Data for Malaysia and Morocco refer to 2022. These are the latest available years for each country.

Source: ILOSTAT (n.d.[6]), SDG indicator 9.2.2 – Manufacturing employment as a proportion of total employment (%) (database) https://ilostat.ilo.org/topics/sdg/.

Annex Figure C.5. Share of value added by manufacturing industries

Note: The graph plots the share of GDP in EGP in each manufacturing industry over total manufacturing (excluding coke and refined petroleum).

The numbers in the figure correspond to: 10. Manufacture of food products; 11. Manufacture of beverages; 12. Manufacture of tobacco products; 13. Manufacture of textiles; 14. Manufacture of wearing apparel; 15. Manufacture of leather and related products; 16. Manufacture of wood and of products of wood and cork, except furniture; manufacture of articles of straw and plaiting materials; 17. Manufacture of paper and paper products; 18. Printing and reproduction of recorded media; 19. Manufacture of coke and refined petroleum products; 20. Manufacture of chemicals and chemical products; 21. Manufacture of pharmaceuticals, medicinal, chemical and botanical products; 22. Manufacture of rubber and plastic products; 23. Manufacture of other non-metallic mineral products; 24. Manufacture of basic metals; 25-28. Manufacture of machinery and equipment; 29-30. Manufacture of transport equipment; 31. Manufacture of furniture; 32. Other manufacturing; 33. Repair and installation of machinery and equipment.

Source: MPED (n.d.[4]), National Accounts Data (database), https://mped.gov.eg/Analytics?id=61&lang=en&National-Accounts-Data.

Annex Figure C.6. Labour productivity by firms’ age in Egypt non-financial market services, 2022/23

Note: The graph plots the log labour productivity in Egypt over age classes from a regression controlling for industry two-digit fixed effects and using sampling weight in 2022/23. Only firms with more than one worker are included (both formal and informal firms). Labour productivity of firms’ age (0‑5) is the base category. The graph also reports the 95% confidence bands.

Source: OECD calculations based on CAPMAS (n.d.[7]), Economic Census 2022/2023 (database), https://censusinfo.capmas.gov.eg/Metadata-en-v4.2/index.php/catalog/Economic_Census.

Annex Figure C.7. Share of firms, VA and labour by industry A38, bottom-half productive manufacturing industries, 2022/23

Note: The graph plots the share of firms (Panel A), value added (Panel B) and labour (Panel C) in manufacturing bottom-half productive industries. The OECD benchmark includes Belgium, Canada, Croatia, Estonia, Finland, France, Hungary, Italy, Lithuania, Portugal, Slovenia and Spain. Firms with one worker are excluded in Egypt. Both formal and informal firms are included for Egypt.

Sources: OECD calculations based on CAPMAS (n.d.[7]), Economic Census 2022/2023 (database), https://censusinfo.capmas.gov.eg/Metadata-en-v4.2/index.php/catalog/Economic_Census; and OECD (n.d.[8]), MultiProd V2 (database), https://www.oecd.org/en/about/projects/multifactor-productivity.html.

Annex Figure C.8. Distribution of leaders in manufacturing by age group, 2022/23

Note: The graph plots the distribution of Egyptian manufacturing firms distinguishing between the leaders (top decile of the log labour productivity distribution in each manufacturing industries) and the rest of the firms. The graph also separates the top six most productive industries in term of labour productivity versus the rest. The graph shows the distribution of manufacturing industries by age groups. Top-half productive industries include electrical equipment, pharmaceutical products, chemicals products, transportation and equipment, machinery and equipment and computers. Firms with one worker are excluded in Egypt, both formal and informal firms are included.

Source: OECD calculations based on CAPMAS (n.d.[7]), Economic Census 2022/2023 (database), https://censusinfo.capmas.gov.eg/Metadata-en-v4.2/index.php/catalog/Economic_Census.

Annex Figure C.9. Ratio of monthly workers’ wage between workers with a university degree or above and the rest in Egyptian manufacturing versus the total economy

Note: The graph plots the exponential of the log average real workers’ wages over time by educational attainment of workers, applying sampling weights. Workers included are wage workers. Real monthly wages are calculated using the 2023 CPI and values are expressed in real EGP.

Source: OECD elaboration based on ELMPS 1998, 2006, 2012, 2018, 2023 from ERF (2024[9]), Labor Market Panel Surveys (LMPS), https://erf.org.eg/?s=Labor+Market+Panel+Surveys&type=all.

Annex Figure C.10. Labour productivity by Egyptian governorates and informality intensity in Egyptian manufacturing, 2022/23

Note: On the left axis, the graph plots the productivity of each governorate compared to the mean across governorates considering only the manufacturing sector (excluding coke and refined petroleum), conditional on industry characteristics. The bars are extracted from a regression of log labour productivity on a categorical variable identifying the Egyptian governorates, controlling for two-digit manufacturing industries fixed effects. The bars can be interpreted as log difference with respect to the mean level of log labour productivity across governorates. Blue bars represent 95% confidence intervals. Standards errors are clustered at the two-digit industry level. All units are included, both formal and informal establishments. On the right axis, the graph plots the percentage of informal units compared to total units in each governorate, applying sampling weights and considering only units in the manufacturing sector.

Source: OECD calculations based on CAPMAS (n.d.[7]), Economic Census 2022/2023 (database), https://censusinfo.capmas.gov.eg/Metadata-en-v4.2/index.php/catalog/Economic_Census.

Annex Table C.1. Distribution of formality and size, 2022/23

Size	Informal (%)	Formal (%)	Total (%)
0-1	626 331 (41.2)	295 379 (20.5)	921 710 (31.1)
2-9	890 076 (58.5)	1 080 226 (74.8)	1 970 303 (66.5)
10-24	4 345 (0.3)	48 155 (3.3)	52 501 (1.8)
25-49	0 (0.0)	10 696 (0.7)	10 696 (0.4)
50-249	0 (0.0)	7 860 (0.5)	7 860 (0.3)
250 or more	0 (0.0)	1 920 (0.1)	1 920 (0.1)
Total	1 520 753 (51.3)	1 444 237 (48.7)	2 964 990 (100.0)

Note: “Formal” are firms registered with the relevant authorities, while “informal” are those that are not. Statistics are obtained applying sampling weights. Statistics include manufacturing (C) and non-financial private services (G-N excluding K).

Source: CAPMAS (n.d.[7]), Economic Census 2022/2023 (database), https://censusinfo.capmas.gov.eg/Metadata-en-v4.2/index.php/catalog/Economic_Census.

Annex Table C.2. Average log labour productivity by formality status and size, 2022/23

	0-1	2-9	10-24	25-49	50-249	250 or more	Total
Formal	9.352	9.270	9.760	10.198	9.975	10.329	9.315
Informal	9.129	8.997	9.281	-	-	-	9.052

Note: Statistics are obtained applying sampling weights. Statistics include manufacturing and non-financial private services (C, G-N excluding K).

Source: CAPMAS (n.d.[7]), Economic Census 2022/2023 (database), https://censusinfo.capmas.gov.eg/Metadata-en-v4.2/index.php/catalog/Economic_Census.

Annex Table C.3. Distribution of age by formality status, 2022/23

Age	Informal (%)	Formal (%)	Total (%)
<6	977 172 (64.3)	539 786 (37.4)	1 516 958 (51.2)
6-9	266 340 (17.5)	270 463 (18.7)	536 803 (18.1)
10-14	119 896 (7.9)	178 064 (12.3)	297 960 (10.0)
15-19	50 858 (3.3)	118 139 (8.2)	168 997 (5.7)
20-24	52 284 (3.4)	102 978 (7.1)	155 262 (5.2)
25-29	14 928 (1.0)	64 286 (4.5)	79 215 (2.7)
30+	39 274 (2.6)	170 520 (11.8)	209 794 (7.1)

Note: “Formal” are firms registered with the relevant authorities, while “informal” are those that are not. Statistics are obtained applying sampling weights. Statistics include manufacturing and non-financial private services (C, G-N excluding K).

Source: CAPMAS (n.d.[7]), Economic Census 2022/2023 (database), https://censusinfo.capmas.gov.eg/Metadata-en-v4.2/index.php/catalog/Economic_Census.

Annex Table C.4. Evolution of constraints faced by Egyptian firms

Item	2013	2016	2020
Access to finance	10.4	13.2	8.4
Access to land	0.6	1.1	0.2
Business licensing and permits	5.1	8.2	5.8
Corruption	5.5	6.6	14.6
Courts	0.2	0.2	0.2
Crime, theft and disorder	4.4	2.9	0.5
Customs and trade regulations	0.7	4.6	4.7
Electricity	9.2	5.9	3.1
Inadequately educated workforce	1.8	4.4	2.2
Labour regulations	2.4	4.1	2.1
Political instability	48.8	33.8	17.4
Practices of the informal sector	4.4	3.1	8.7
Tax administration	1.2	1.9	6.3
Tax rates	4.0	8.7	24.4
Transportation	1.3	1.3	1.5

Note: Figures represent the percentage of firms identifying the corresponding item as being the biggest constraint.

Source: OECD calculations based on World Bank (n.d.[10]), World Bank Enterprise Surveys, https://espanol.enterprisesurveys.org/en/enterprisesurveys.

Annex Table C.5. Evolution of constraints faced by Egyptian firms, by firm size

	Micro (<10)			Small (10-49)			Medium (50-249)			Large (250+)
Constraint	2013	2016	2020	2013	2016	2020	2013	2016	2020	2013	2016	2020
Access to finance	12.7	11.8	8.6	9.2	13.7	7.2	8.2	14.4	15.1	11.4	17.5	6.9
Access to land	0.5	2.2	0.1	0.4	0.3	0.3	0.4	0.4	0.1	4.8	1.0	1.2
Business licensing and permits	5.1	8.3	4.9	5.5	8.2	5.9	2.6	4.4	10.3	7.4	19.9	8.2
Corruption	5.8	8.4	15.9	4.6	5.2	12.1	9.5	6.4	13.6	1.5	6.8	59.5
Courts	0.4	0.4	0.1	0.1	0.1	0.2	0.0	0.3	0.0	0.4	0.2	0.0
Crime, theft and disorder	5.4	4.5	0.2	4.5	2.3	0.6	1.7	0.8	1.2	0.5	0.3	0.0
Customs and trade regulations	0.1	1.7	3.6	1.0	7.1	5.7	1.3	4.3	5.7	0.8	3.7	0.9
Electricity	10.2	7.3	2.0	8.5	5.2	4.3	12.0	4.7	2.0	1.5	4.5	1.8
Inadequately educated workforce	1.9	3.4	2.0	1.6	5.5	1.8	1.9	3.3	5.5	4.9	4.9	1.6
Labour regulations	2.4	1.6	2.6	2.6	3.9	1.3	1.2	13.0	3.5	4.2	4.7	1.9
Political instability	41.7	35.4	19.0	53.0	33.0	17.0	52.3	33.2	13.8	49.0	28.2	3.6
Practices of the informal sector	7.0	4.0	7.9	2.5	2.9	9.5	4.4	0.7	8.4	6.0	5.2	4.7
Tax administration	1.3	2.1	8.4	1.3	2.2	5.5	1.0	0.4	0.8	0.1	0.9	1.3
Tax rates	5.0	8.0	24.1	3.7	8.5	27.4	2.6	13.7	11.4	1.0	1.8	6.5
Transportation	0.4	0.9	0.6	1.6	2.1	1.2	1.0	0.1	8.8	6.6	0.2	1.9

Note: The table reports the percentage of firms identifying the corresponding item as being the biggest constraint.

Source: OECD calculations based on World Bank (n.d.[10]), World Bank Enterprise Surveys, https://espanol.enterprisesurveys.org/en/enterprisesurveys.

Annex Table C.6. Constraints faced by firms by macro sector in Egypt, MENA and OECD, 2020

	Egypt		MENA		OECD
Constraint	Manufacturing	Services	Manufacturing	Services	Manufacturing	Services
Access to finance	11.9	6.3	19.5	17.7	7.5	8.6
Access to land	0.2	0.2	1.1	1.9	1.9	1.2
Business licensing and permits	3.3	7.4	1.5	3.4	2.5	2.2
Corruption	13.7	15.1	15.2	10.9	2.6	1.5
Courts	0.4	0.0	1.9	1.0	1.4	0.7
Crime, theft and disorder	1.0	0.1	0.9	1.6	1.2	0.9
Customs and trade regulations	1.6	6.6	2.5	5.0	1.1	2.2
Electricity	5.5	1.6	7.4	5.0	6.1	1.7
Inadequately educated workforce	3.8	1.2	2.2	1.5	23.6	20.5
Labour regulations	2.3	1.9	3.2	2.4	6.5	7.6
Political instability	15.8	18.4	21.6	23.0	5.9	7.1
Practices of the informal sector	12.1	6.5	6.0	8.7	8.9	11.4
Tax administration	3.4	8.2	2.8	3.7	4.8	6.1
Tax rates	23.7	24.8	8.3	11.8	21.8	21.5
Transportation	1.5	1.5	6.1	2.4	4.2	6.8

Note: The table reports the percentage of firms identifying the corresponding item as being the most important constraint. MENA economies include Jordan, Lebanon, Morocco, the Palestinian Authority and Tunisia. OECD countries include Czechia, Estonia, Hungary, Poland, the Slovak Republic, Slovenia and Türkiye. Only non-governmental formally registered firms are included in the WBES.

Source: OECD calculations based on World Bank (n.d.[10]), World Bank Enterprise Surveys, https://espanol.enterprisesurveys.org/en/enterprisesurveys.

Annex Table C.7. Constraints faced by Egyptian firms by sector, 2013

Constraint	Egypt		MENA		OECD
	Manufacturing	Services	Manufacturing	Services	Manufacturing	Services
Access to finance	12.6	7.4	13.7	14.0	13.9	13.9
Access to land	0.7	0.5	2.9	2.1	3.1	2.4
Business licensing and permits	6.4	3.5	2.0	1.6	2.1	1.7
Corruption	5.8	5.1	6.0	8.9	2.4	3.9
Courts	0.3	0.2	1.1	1.9	2.2	2.2
Crime, theft and disorder	3.9	5.0	1.2	0.9	0.5	2.1
Customs and trade regulations	0.6	0.7	3.4	4.5	2.1	0.7
Electricity	11.9	5.8	7.0	4.6	4.3	2.9
Inadequately educated workforce	2.9	0.4	7.4	5.0	6.8	3.8
Labour regulations	1.0	4.3	3.9	1.8	7.2	5.6
Political instability	44.2	54.8	28.8	33.6	10.1	9.6
Practices of the informal sector	3.8	5.2	8.8	7.6	12.1	16.2
Tax administration	2.0	0.1	1.2	3.0	5.9	6.1
Tax rates	3.5	4.5	10.7	9.2	24.7	25.1
Transportation	0.4	2.5	1.9	1.5	2.8	3.8

Note: The table reports the percentage of firms identifying the corresponding item as being the biggest constraint. MENA economies include Jordan, Lebanon, Morocco, the Palestinian Authority and Tunisia. OECD countries include Czechia, Estonia, Hungary, Poland, the Slovak Republic, Slovenia and Türkiye.

Source: OECD calculations based on World Bank (n.d.[10]), World Bank Enterprise Surveys, https://espanol.enterprisesurveys.org/en/enterprisesurveys.

References

[7] CAPMAS (n.d.), Economic Census (database), Central Agency for Public Mobilization and Statistics, Cairo, https://censusinfo.capmas.gov.eg/Metadata-en-v4.2/index.php/catalog/Economic_Census.

[2] Department of Statistics (n.d.), Annual Accounts (database), Department of Statistics, Amman, https://dosweb.dos.gov.jo/nationalaccount/annual-accounts/.

[9] ERF (2024), Labor Market Panel Surveys (LMPS), Economic Research Forum, https://erf.org.eg/?s=Labor+Market+Panel+Surveys&type=all.

[6] ILO (n.d.), SDG indicator 9.2.2 - Manufacturing employment as a proportion of total employment (%), ILOSTAT, https://ilostat.ilo.org/topics/sdg/.

[3] INS (n.d.), Employment (database), Institute of Statistics, Tunis, https://www.ins.tn/en/statistiques/151.

[4] MPED (n.d.), National Accounts Data (database), Ministry of Planning and Economic Development, Cairo, https://mped.gov.eg/Analytics?id=61&lang=en&National-Accounts-Data.

[1] MPED (n.d.), Public Investments (database), Ministry of Planning and Economic Development (database), https://mped.gov.eg/Investment?lang=en.

[8] OECD (n.d.), MultiProd (database), OECD, Paris, https://www.oecd.org/en/about/projects/multifactor-productivity.html.

[5] OECD (n.d.), National accounts (database), OECD, Paris, https://data-explorer.oecd.org/?fs[0]=Topic%2C1%7CEconomy%23ECO%23%7CNational%20accounts%23ECO_NAD%23&pg=0&fc=Topic&bp=true&snb=158.

[10] World Bank (n.d.), World Bank Enterprise Surveys, World Bank, Washington, DC, https://espanol.enterprisesurveys.org/en/enterprisesurveys.