Egypt – An Ancient Power Emerges Into Modern Global Economy
You hear the word Egypt, and you’re wont to think of ancient history and civilizations-pharaohs and hieroglyphics, and the majestic Cleopatra floating on her caravan down the Nile. Many people who have never been to this region of Northern Africa are unaware of the changes that the country has undergone over the years. Although remnants of this former global power can still be seen, large cities such as Cairo, which are located in the “Next Eleven” grouping for international trade, are well-developed and working to improve the nation’s economy.
The Economy of Egypt
Shipping is a significant part of Egypt’s economy. Egypt’s first waterway was the Nile, which served as its most crucial waterway during ancient times. However, the Suez Canal and Lake Nassar are also vital for improving their domestic ecology and agricultural production, while the former is used to expedite travel to Asia.
Tourism is Egypt’s primary source of income. The Sphinx, the Great Pyramids, and other attractions that remind us of past civilizations are visited by thousands of tourists each year. Egypt, a developing country, is also a recipient of U.S. foreign aid. It is one of America’s most prominent beneficiaries. Egypt has enjoyed a market-oriented economy in recent years with increasing export prospects.
Egypt trades with the United States, Italy and Spain most often, as well as Saudi Arabia. They also export a variety of natural resources.
Crude Oil/Petroleum – Egypt boasts nearly twenty oil fields and close to four billion barrels in natural oil reserves. This oil can be traded with hundreds of multinational oil companies.
Cotton: Egyptian cotton is a popular material for bed sheets. This popular commodity is available for trade with international textile producers.
Textiles: Egypt is well-known for its unique materials and exotic clothing that are sold in shops around the globe.
Chemicals/Pharmaceuticals: Some will associate the ancient Egyptian look with a high standard of beauty. Women don’t have to be Cleopatra-like with kohl-lined eyes, but Egyptian pharmaceuticals and chemicals are still used in cosmetics and beauty products.
Agriculture/Food: Foodstuffs are traded across Europe and Asia.
Egypt depends on its trade partners to provide the following:
Refined fuels: Egypt imports refined fuels to maintain a stable economy.
Wood: There are not many extensive wood-producing forests in Egypt, as much of it is desert. Egypt imports wood products worth nearly a billion dollars each year for furniture construction and other purposes.
Machinery: This country needs drilling equipment to meet its oil demand. They trade what Egypt can’t produce.
Food: Nearly a fifth of all imports to Egypt are food. Although Egypt’s agricultural sector is growing, many processed foods are imported from other countries.
Telecommunications: Egypt is negotiating with other countries that offer phone and computer technology, as well as mobile services.
Egypt was once the capital of civilization and is now a modern country with a strong economy. It has survived centuries of conflict and triumphs. It is safe to assume that Egypt will continue to influence trade partners and grow its oil economy.