IMPACT OF AGRICULTURAL PROJECTS ON ECONOMIC GROWTH IN EGYPT
Abstract
Purpose of the study: The purpose of the study was to examine the impact of agricultural projects on economic growth in Egypt
Statement of the problem: The Egyptian economy has commonly depended dramatically on agriculture as a source of growth and support for the non-agricultural sectors of the economy. Agriculture is a vital element of the Egyptian economy because it provides livelihoods for about 55% of the population, mainly in rural areas. However, agricultural production has dropped drastically in the past three years, which formed the study's motive.
Research Methodology: The study was literature-based. The inferences were made based on the verdicts from the preceding studies.
Research Findings: The study discovered that irrigation and agricultural productivity are key drivers of Egypt's economic growth. The agricultural outputs supply the industries with the raw materials. Moreover, it was found the sector employs more than 57% of the total population in the country. It was established that agriculture is key to the economy, contributing 37 percent of the Gross Domestic Product (GDP) and another 41 percent of GDP indirectly through linkages with other sectors. Moreover, it was established that agriculture is also a market for industrial goods such as machinery, equipment and fertilizers used in the farming process.
Conclusion: The study concluded that irrigation and agricultural productivity is one of critical drivers of economic growth in Egypt. The study also concluded that the major source of water for irrigation is from River Nile. The agriculture sector creates employment and contributes significantly to the country's GDP
Recommendations: The study recommended that the government should ensure there is a continuous supply of water from the River Nile for irrigation. Moreover, it was recommended that there be other water sources if the supply of water from the River Nile decreases. The suggested sources of water include digging plenty of boreholes in the country. The government and other stakeholders should put strategies that will enhance the performance of such training on the most profitable products. The government should also offer subsidies to the farmers.
Keywords: Irrigation, Agricultural productivity, Economic growth, Egypt
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