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‏Cityscape Egypt 2025 Summit Highlights Growth Prospects and Challenges of the Egyptian Retail Sector

‏Cityscape Egypt 2025 Summit Highlights Growth Prospects and Challenges of the Egyptian Retail Sector

  • Mohamed Aly
  • 24/09/2025
  • 713

‏At Cityscape Egypt 2025 Summit, a panel titled “The Retail Goldmine | Exploring Egypt’s True Potential for Retail – Understanding Gaps, Opportunities for Investors and Outlook” shed light on the growth potential and challenges of Egypt’s retail sector. With Egypt being the largest consumer market in the Arab world, where nearly 60% of the population is under 30, retail still accounts for more than 50% of the market — even as e-commerce players race to expand their share. ‏The session was moderated by Nihal El Koussi, Managing Director, North Africa and Levant, NielsenIQ, and featured distinguished panelists including Rasha Azab, Managing Director – Shopping Malls, Majid Al Futtaim Properties, Egypt, Ahmed Badrawi, Executive Vice-Chairman, Marakez (Fawaz Al Hokair Group), Egypt, and Mohamed Galal, Chairman and Founder, TSM. ‏During the discussion, the panelists emphasized that the retail sector in Egypt is one of the most powerful engines of economic growth due to its ability to generate attractive returns and offer wide-ranging investment opportunities. They also expressed optimism about the sector’s anticipated growth over the coming years, which will be driven by the expansion of commercial and service activities, particularly in food, entertainment, and mixed-use projects. ‏The panel acknowledged that the sector faces real challenges, especially in light of the decline in consumer purchasing power. However, they also underscored that the market remains highly attractive because of recent positive economic indicators and the diversity of investment opportunities it offers. Panelists further discussed the sector’s ongoing transformation, with shopping malls evolving from purely retail spaces into integrated destinations that combine entertainment, co-working spaces, and various services, thus enhancing sustainability and strengthening the sector’s contribution to the national economy. ‏In her remarks, Rasha Azab, Managing Director – Shopping Malls, Majid Al Futtaim Properties, Egypt, stated that the retail sector in Egypt is expected to achieve steady growth of approximately 11% over the next four years, while the food sector is projected to record a growth rate of 4% over the next seven years. She added that Majid Al Futtaim owns nearly three million square meters of retail space in Egypt and stressed that malls are no longer just shopping destinations, but fully integrated centers that include entertainment elements, co-working spaces, and a wide range of services that cater to visitors’ diverse needs. ‏Ahmed Badrawi, Executive Vice-Chairman, Marakez (Fawaz Al Hokair Group) pointed out that last year witnessed positive indicators that reflect promising opportunities, which have encouraged many international retailers to consider entering and investing in the Egyptian market. He emphasized that innovation has become a key factor for success and noted the emergence of local brands that have managed to fill important gaps in the market. He also stressed that supporting local businesses should remain a priority, particularly as the retail sector expands to include essential areas such as food and entertainment, making it a fundamental pillar of the economic system. ‏Meanwhile, Mohamed Galal, Chairman and Founder, TSM, confirmed that the retail and food and beverage sectors are witnessing remarkable growth and still have wide room for expansion and development. He explained that the Egyptian market contains large spaces that can be utilized for residential or mixed-use projects, thereby opening new avenues for growth. He added that, given the intense competition, TSM has adopted an innovative model that involves managing multiple projects within the same geographic area in a complementary rather than directly competitive way. This approach creates added value and strengthens the sustainability of the sector. ‏It is worth noting that Cityscape Egypt 2025 officially opens tomorrow, September 24, and runs until September 27 at the Egypt International Exhibition Center (EIEC) in New Cairo. The exhibition will feature more than 80 local and international developers showcasing over 1,000 projects, including residential, commercial, and administrative developments, as well as smart and sustainable city projects, and is expected to attract over 40,000 visitors, from investors and business leaders to homebuy

 

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