Egypt offers a cost effective and world class alternative to organizations considering outsourcing of technology and communications. Recent economic reform has freed Egypt’s markets for foreign trade and local manufacturing; smoothing over business procedures and increasing the speed of production.Recently the country ranked 4th as a global offshoring destination, ahead of key market giants such as Mexico, Philippines, Brazil, Israel and Poland (Offshoring Opportunities Amid Economic Turbulence, The A.T. Kearney Global Services Location Index™ (GSLI), 2011).
The costs of doing business in Egypt are significantly lower than in Eastern Europe and even lower than other emerging markets. This is partly owing to the fact that the Egyptian Pound (EGP) is relatively stable against the US Dollar, preserving cost competitiveness and encouraging foreign investment.
One of the main benefits is Egypt’s low average wage costs with wages being around half of those in Morocco.
Inexpensive office rentals compared with other countries allow an Egyptian based outsourcing company offering technology services to rent spaces at 180 USD per square meter per year. The non-personnel operating costs per FTE for large centres in Egypt is around US$6,400 per year, compared to US$6880 in Poland and $7,150 in Morocco. These costs include IT and telecoms, rent and maintenance. In addition, globally low telecom costs with ready access to VoIP at decreased global internet rates contribute to foreign investors’ return on investments.
Egypt is already home to several contact centers for multinational companies, including Microsoft, Teleperformance, Google, Vodafone, Stream, and Sykes. In addition to local BPO centers like Xceed, ecco, Wasla, Allied Soft, and E Group. Call centers in Egypt rely on the country’s well-educated and ambitious workforce - where the local, neutral accent is particularly attractive to global organizations - and there is a high ceiling for trainees to expand within a burgeoning technology consulting and outsourcing sector.