Remittances are a crucial stabilizing factor for the Egyptian economy, accounting for $41.5 billion last year alone. That is a massive amount, given that tourism contributed $18 billion, FDI $11 billion, and the Suez Canal $3.6 billion. 

 Remittances are also growing faster than other revenue sources. According to the Central Bank of Egypt (CBE), the first nine months of fiscal year 2025/2026 saw transfers jump 32% over the previous year.  

 These inflows are less affected by geopolitical and geoeconomic volatility than other sources. “They act as a shock absorber to Egypt’s economy,” noted Nour Adbellhamin, a reporter for state-owned Ahram English, in June.   

 A January report by Ataraxis, a recruitment, outsourcing, and workforce management company, ranked Egypt 15th out of 193 nations for talent and labor exports. “With a total score of 81.2, Egypt is a high-value hidden gem for outsourcing … offering some of the most competitive rates globally for skilled technical talent,” the report said.  

 However, the country still needs to address several issues Ataraxis ranking identifies as crucial to becoming Africa’s most attractive source of talent and labor. 

 Egypt’s analysis 

One factor the report considers is an exporting nation’s location. Egypt’s “strategic location bridges Europe, the Middle East and Africa, offering a compelling value proposition for companies seeking high-quality technical and back-office support.” 

For U.S. and Asian clients, Egypt “provides a strong base for ‘follow-the-sun’ support for … companies, particularly for late-night and early-morning coverage.” 

The second factor is labor costs, which account for 52.8% of the final score. The report measures “relative wages and compensation expenses for remote specialists, cost-effectiveness compared to other countries and impacts on overall hiring budget and scalability.” 

Egypt scored 98 out of 100 points in the labor cost category. “The country produces over 738,000 graduates annually from higher education institutions [and there is a] strong emphasis on STEM and language studies with significant clusters in business, law and health, ensuring a steady stream of ‘work-ready’ talent for the global market.” 

Egypt scored 60 out of 100 in English language proficiency, which accounts for 20% of the total grade. The report considers “ability to communicate effectively in English, reduced miscommunication in cross-border teams [and] supporting faster onboarding and collaboration.” 

The Ataraxis report explained the country “maintains a ‘low’ to ‘moderate’ proficiency level, [yet] within the outsourcing sector (Cairo and Alexandria), proficiency is significantly higher, often reaching ‘high’ status in specialized business process outsourcing hubs.” 

Egypt scored 70 out of 100 for talent availability, which is 17.5% of the total grade. The report’s focus was on the “size and skill depth of the local workforce, availability of specialists for specific roles [and] ability to scale teams as business needs grow.” 

The country “boasts a robust and expandable workforce with a total labor force of 34.8 million individuals, of which 32.6 million are actively employed,” the report said. “This talent pool is supported by a growing professional community of several million searchable profiles on LinkedIn.” 

The least crucial elements are “digital infrastructure” and “business, legal and political stability” in the talent’s home country. Each accounts for 5% of the total score. The former factor covers “Reliability of internet and mobile networks [and] access to modern technology and cloud services,” the report said. Egypt scored 70 points. 

Business stability focuses on “predictability of local regulations and labor laws [and] political and economic stability affecting operations.” Egypt scored 40 points. However, the report added, “business risk level [is] low to moderate. Economic reforms and a massive push for digital exports have stabilized the environment.” 

The most likely jobs Egyptian expats secure include full-stack engineer, mobile developer, data analyst, accountant, financial analyst, digital marketing manager, and bilingual virtual assistant. “These roles leverage Egypt’s growing reputation for technical excellence and its status as a competitive, multilingual hub for the EMEA region,” the report noted. 

While Egypt ranks among “top-tier” countries, the report is concerned about “currency volatility and regional geopolitical shifts [as well as] regulatory complexity … particularly regarding bureaucratic processes.” Yet, “these are generally manageable for service-based and remote-first operations through the use of local partners or Employers of record.” 

Africa’s competition 

Egypt faces stiff competition from other African countries. South Africa ranks fifth, though it trails Egypt in labor costs — scoring 88 out of 100 versus Egypt’s 98 — and in digital infrastructure, scoring 40 versus Egypt’s 70. It surpasses Egypt’s scores in English proficiency (100 vs. 60) and business stability (60 vs. 40). It ties Egypt’s score in talent availability (70). 

“South Africa is a cost-efficient, high-English outsourcing destination with strong communication standards and a solid professional workforce,” the report said. However, downsides include “electricity reliability and regulatory complexity that present moderate risk.” Yet, “it remains a compelling option for companies prioritizing customer-facing roles and European time zone alignment.” 

Nigeria is the second-highest-ranked African country, reaching sixth, versus Egypt’s 15th place. It matches Egypt’s scores in labor costs (98) and business stability (40). It tops Egypt in English proficiency (90 to 6000, while falling short in digital infrastructure (30 vs. 70) and talent availability (60 vs. 70). 

“Nigeria offers exceptional cost efficiency and strong English proficiency, supported by a large, young workforce,” said the report. “While digital infrastructure, power reliability, and regulatory risk remain considerations, it is a compelling option for companies prioritizing savings and English-based support, admin and finance roles.” 

The third African country ranked ahead of Egypt is Kenya — 11th in the report. Kenya’s labor costs score is lower than Egypt’s (95 points versus 98). In talent availability and digital infrastructure, Kenya scores 50 in each, versus Egypt’s 70. It outscores Egypt in English proficiency (90 vs. 60) and business stability (50 vs. 40).  

“Kenya is a ‘top-tier value’ destination, offering some of the most competitive labor costs globally without sacrificing English fluency,” said the report. “While infrastructure and talent scale are still developing compared to more mature hubs, its rapid digital transformation makes it an ideal spot for companies seeking high-quality, cost-effective technical and support talent.” 

Ghana ranks 17th, two places behind Egypt. It scored the same in business stability (40), but couldn’t match Egypt in labor costs (91 vs. 98) and talent availability (60 vs. 70). However, Ghana prevailed in English proficiency (90 vs. 60).  

“Ghana is a great hidden gem for outsourcing,” said the report. “You get a huge win on labor costs and English skills. It is a safe place to start hiring in Africa, especially if you want to save money while still getting high-quality work.” 

Intangibles 

Alongside these factors, there are also non-measurable influences on how easy it is to export talent and labor.  

The first category of these qualitative forces concerns financial and operational costs. “Potential risks of outsourcing include exposing organizations to increased costs, breach of data security and a loss of institutional knowledge,” the report said. “This can result in loss of revenue and loss of competitive advantage. Political instability and conflicts in offshore locations can significantly impact business operations.” 

Another intangible factor is cultural differences, which “can sometimes lead to communication and collaboration challenges,” the report noted. “Diverse work cultures may result in misunderstandings, affecting project delivery and overall efficiency.”  

Lastly, “different countries have varying laws and regulations governing data privacy, labor practices and intellectual property rights,” the report said. “Failure to comply with these regulations can lead to legal complications and reputational damage.”