Egyptian Prime Minister Mostafa Madbouly said on Wednesday (October 8) that the government is set to collect up to $675mn in direct foreign investment (FDI) within weeks from selling 5G licences to telecom operators. 

Earlier this week, the National Telecommunications Regulatory Authority (NTRA) signed contracts with three telecom services providers operating in Egypt, Vodafone, e& Egypt, and Orange for 5G technology services, supporting Egypt’s Vision 2030, which focuses on digital innovation and economic development.

Telecom Egypt had previously secured a 5G operating licence without additional frequencies or special privileges for $150mn.

The rollout of 5G is expected to improve digital infrastructure, support sectors such as healthcare and agriculture, and bolster smart cities while enhancing overall connectivity. Its introduction will also complement existing 4G networks while gradually replacing them. Telecom operators are preparing to launch these services to the public in the coming months, promising faster internet speeds and better communication services​.

Egypt has been in the early stages of deploying 5G services, with significant milestones marking its progress. Large-scale events like the Africa Cup of Nations (AFCON) 2019 also served as testing grounds for 5G, as Vodafone conducted trials during the tournament. 

One of the main challenges to 5G implementation in Egypt was the high cost of spectrum. Telecom companies have shown concerns over the steep pricing, which could affect the speed and scale of the new service deployment. The country also needs significant upgrades to its network infrastructure, including fibre-optic networks, to support the high speeds and low latency required for 5G.

Amr Talaat, Egypt's Minister of Communications and Information Technology, announced that the introduction of 5G technologies will significantly benefit the economy and elevate Egypt’s ranking in international indicators. He emphasized that 5G is crucial for strengthening the country’s digital infrastructure, a key pillar in supporting the broader digital transformation.

The deployment of 5G is also expected to bolster industries like logistics, healthcare, and agriculture, ensuring that Egypt remains at the forefront of regional digital advancements.