Concentrix Injects $1B In Egypt’s Outsourcing Industry 

January 29, 2025

 

Concentrix, a global technology and services leader, has inked a memorandum of understanding (MoU) with the Information Technology Industry Development Agency (ITIDA) to invest around $1 billion in Egypt, according to a cabinet statement on January 28.

Agreement details

Under the agreement, Concentrix plans to expand its operations in Egypt, creating 16,000 new job opportunities. This will bring the company’s total workforce to 35,000 by the end of 2028, up from the current 19,000.

Prime Minister Mostafa Madbouly highlighted the significant potential of outsourcing in Egypt, noting that “Concentrix’s interest in expanding its business here reflects the country’s prominent position as a global outsourcing hub.”

Amr Talaat, Minister of Communications and Information Technology, confirmed that this expansion is the largest in the history of Egypt’s outsourcing industry and will boost the global competitiveness of the Egyptian outsourcing sector.

Engineer Ahmed El-Zaher, CEO of ITIDA, added, “The memorandum of understanding with Concentrix, one of the world’s top five outsourcing service providers, is a strong testament to the confidence global companies have in Egypt’s competitive advantages, further strengthening its position as a leading destination in this vital sector.”

Concentrix operation in Egypt

El-Zaher highlighted that Concentrix began operations in Egypt in 2009 with just 150 employees. Today, the company operates 11 centers across Cairo, Giza, Alexandria, and Hurghada, all focused on providing technical support and customer service to global clients in various markets.

The company also plans to expand in Mansoura, reflecting its commitment to growing its operations and boosting its outsourcing service exports, El-Zaher added.

Concentrix Egypt offers high-quality services in 12 languages, including English, French, German, Italian, and Spanish, demonstrating its ability to meet the diverse needs of its global clients.

Christopher Caldwell, CEO of Concentrix, stated that the company’s expansion in Egypt “confirms our commitment to developing Egyptian talent, enhancing our presence in local and global markets, and reinforcing Egypt’s growing role in the global outsourcing industry.”

Egypt’s digital exports

Egypt’s outsourcing industry has demonstrated strong resilience, with the sector growing by 54.2% in the 2022/23 fiscal year, contributing $3.7 billion in added value, up from $2.4 billion in 2021/22, according to a 2024 report by the Egyptian Information and Decision Support Centre (IDSC).

The report also highlighted a 24.4% increase in the number of outsourcing service centers and a 25% rise in the number of companies operating in the field. This growth is attributed to Egypt’s unique advantages, including its skilled digital and linguistic workforce and complementary infrastructure.

In addition, the outsourcing industry is a significant driver of digital export revenues. Minister Talaat noted that Egypt’s digital exports rose by 26% in 2023, reaching $6.2 billion, up from $4.9 billion in 2022. He also emphasized that the sector contributed 5.8% to the country’s GDP in FY2023/2024.

Looking ahead, Egypt aims to employ 550,000 outsourcing professionals and achieve $9 billion in exports by 2026.