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FEATURE STORYMarch 12, 2025

Breaking Barriers: Boosting Women's Labor Force Participation in Egypt

Two business women in an office. (Shutterstock.com/Ahmed Photox)

Two business women in an office. (Shutterstock.com/Ahmed Photox)

STORY HIGHLIGHTS

  • Closing the gender employment gap could boost the Egyptian economy by around 56%.
  • Despite this significant opportunity, the current female labor force participation rate is around 18%.
  • Ensuring that women have equal access to job opportunities requires a fundamental change in mindset, both socially and within the private sector.

Women make up nearly half of Egypt's population, and their untapped potential in the workforce is considerable. World Bank analysis conducted in 2024 reveals that closing the gender employment gap could boost the economy by around 56%. Despite this significant opportunity, the current female labor force participation rate is around 18%, compared to 73% for men.

Several structural, legal, and perceptual barriers hinder the increase of female labor force participation in Egypt. Research shows that 45% of men and 33% of women oppose using  child care services outside the family, which are essential for women¡ªwho are typically the primary caregivers¡ªto be able to work. Research also reveals that 24% of men do not support female participation in the workforce. 

The decline in agricultural jobs has significantly impacted women's employment opportunities, while the public sector¡ªknown for offering favorable working hours and conditions for women¡ªhas also seen decreased job availability. Limited investments and opportunities in the private sector restrict women's access to jobs, especially in male-dominated fields. And overall, inadequate legal protections in the private sector, unsafe transportation, and prevailing socio-cultural norms discourage women from entering the workforce. 

Addressing such challenges will be crucial for promoting gender equality and unlocking the potential of women in Egypt.

Egypt is working to increase women's participation in the workforce but faces challenges due to the need to tackle several aspects in parallel, according to Nehad Abolkomsan, a senior lawyer and well-known advocate on gender issues. She notes that women lose education investment because of having to bear the primary family care responsibility with lack of affordable childcare options. ¡°Graduates, even those from foreign universities, may leave jobs as childcare costs exceed their income,¡± said Abolkomsan. ¡°Discrepancies between school and work hours force women to choose between their children and jobs. Despite legal reforms, slow judicial processes leave women feeling unprotected in the workplace.  This situation calls for strong coordination between different ministries, as well as media campaigns to raise awareness about available opportunities and the protections for women in the workforce.¡± ?she added. 

While challenges highlight the significant barriers to women's empowerment in Egypt, various efforts and initiatives are being implemented to increase women¡¯s labor force participation. These efforts are guided by the National Strategy for the Empowerment of Egyptian Women 2030, which includes an emphasis on increasing women's participation in leadership roles, enhancing workforce equality and participation, ensuring women's rights, and promoting gender equality through legal frameworks. 

Ensuring that underlying obstacles to women's labor force participation are well understood and adequately addressed is integral to realizing women¡¯s full contribution to the workforce and economy.  The National Council for Women (NCW), together with the World Bank, has published a  establishing a systematic measurement framework designed to enhance policies and interventions that promote female labor force participation. The report finds that if a safe and supportive environment is provided, women are more likely to be willing and encouraged by their families to join the labor force.

Empowering women to start their own businesses is a double win for Egypt, especially in light of the integral role of inclusive private sector-led job creation in Egypt¡¯s economic prosperity. A key national initiative in this effort is the expansion of the Takaful and Karama Cash Transfer Program supported by the World Bank. This program has introduced digital payments through Meeza cards, benefiting women, who make up 75% of its recipients, and providing them with social and economic empowerment opportunities. In addition to financial support, Takaful and Karama connects beneficiaries to the FORSA program, which focuses on creating livelihood opportunities. FORSA provides women beneficiaries with assets and financial and technical training to help set up micro-businesses to generate sustainable incomes. Approximately 26,000 beneficiaries received support from FORSA, with around 70% receiving assets or micro business trainings. Of the beneficiaries, 76.5% were women, 44% were youth, and 4.87% were persons with disabilities.

Entrepreneurship and self-employment, particularly e-commerce, are highly desirable among women due to the assumed flexibility of working hours and freedom to work from home. Egypt¡¯s Micro, Small, and Medium Enterprise Development Agency has a strong focus on promoting female entrepreneurs.  In 2024, the agency disbursed approximately 80,000 loans, with 50% of the loans going to women. Å·ÃÀÈÕb´óƬ¡¯s Catalyzing Entrepreneurship for Job Creation program is currently working with the agency to support Egyptian entrepreneurs ¨C with a focus on women and youth¨C to start and expand their businesses. Since its start in January 2020, it has created or maintained over 408,829 jobs and helped around 200,00 beneficiaries, with 43% being women.

To promote, incentivize, and institutionalize gender equity in the Egyptian private sector,  the World Bank, in collaboration with the National Council for Women (NCW) and the UK Embassy in Egypt, developed the Egyptian Gender Equity Seal certification. This model promotes gender equity in the private sector by building a series of good practices for companies to adopt in the areas of?recruitment,?career development,?family-work balance, and?sexual harassment policies. 

To enhance women's participation in Egypt's private sector, the International Finance Corporation (IFC), the private sector arm of the World Bank Group, launched the Egypt Women's Employment project (EWE) and the Egypt2Inclusion project (E2I). Through EWE and E2I, IFC supported four companies (Metro Markets, Integrated Diagnostics Holding (IDH), Abu Auf, and Misr Insurance Holding) in closing gender gaps, recruiting, retaining, and promoting women. As a result, IDH, Wadi Foods, and Abu Auf earned (EDGE) Gender Certification. IFC helped Misr Insurance Holding draft inclusive policies and trained Metro Markets' HR on gender diversity. 

At the market level, IFC and the American Chamber of Commerce spearheaded a peer-learning platform which has engaged 65 firms through webinars on workforce diversity. Together with AmCham, IFC launched the #pledge4genderdiversity?campaign, where 11 companies ¡ª including Juhayna, Hassan Allam Utilies, and Cleopatra Hospitals¡ªcommitted to advancing gender equity.

Addressing Gender-Based Violence (GBV)and to and from the workplace is key to encouraging women to enter the workforce.  In 2014, Egypt passed a law criminalizing sexual harassment in the workplace, on public transportation, and in public spaces. This law makes it a criminal offense to sexually harass someone, with penalties ranging from fines to imprisonment. 

As a part of its broader efforts to support combating GBV, the World Bank partnered with the Ministry of Transport and the NCW to improve transportation safety.  Key resources developed include grievance redress mechanisms for reporting GBV incidents on public transport and standard operating procedures outlining anti-GBV guidelines. A community outreach strategy was also created to ensure effective understanding of these resources. To ensure successful implementation stakeholder consultations, awareness sessions and train-the-trainer workshops incorporating global best practices were conducted.

Ensuring that women have equal access to job opportunities requires a fundamental change in mindset, both socially and within the private sector. It is essential to implement and enforce laws that promote gender equality, as well as to invest in women's education, training, and counseling, equipping them with the necessary skills for effective participation in the labor force. By doing so, Egypt can help women pursue diverse economic opportunities and unlock their full potential, ultimately contributing to the country¡¯s overall growth and prosperity. 

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