AI Policy and Governance in Egypt: Framework for Policymakers

National AI Readiness

Egypt, population 108 million, GDP per capita $3,570, faces both opportunities and governance challenges in the AI era. Labor force: 32 million. AI adoption: Growing; National AI Strategy launched; Egypt AI Center of Excellence. GDP growth: 2.4% (FY2024).

Labor Market Policy

Unemployment: 6.4%. Average wages: EGP 8,000-12,000 (~$160-240 USD). Minimum wage: EGP 6,000/month (2024, public sector).

Priority Sectors for Transition Programs

Administrative government services, call centers, textile manufacturing assembly, data entry

Digital Infrastructure Gaps

Internet: 72%. Literacy: 72%. STEM graduates: ~200,000 annually.

Policy Recommendations

• AI Ethics: Guidelines for AI in high-stakes sectors
• Data Protection: Privacy regulations that enable innovation
• Workforce Transition: AI reskilling programs proportional to disruption
• Innovation: Tax incentives for responsible AI development

Fiscal Context

Currency devaluation (EGP lost ~50% since 2022), inflation pressures, high public debt, youth unemployment, population growth straining services