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Egyptian Military Dominates Economy Through Household Brands and Industrial Ventures
The Egyptian military has a substantial presence in the country’s economy, controlling stakes in a wide range of household brands and industrial products. From pasta to petrol stations, military-run enterprises are deeply integrated into daily life, highlighting the army’s long-standing economic role.
Driving through Cairo, many businesses, including restaurants, hotels, and even construction materials, are clearly marked as military-owned. Locals commonly refer to them as “Huwa gaysh” — “That’s army.” Even the ingredients for Egypt’s national dish, koshary, often come from military factories. The dish recently earned recognition from UNESCO as an intangible cultural heritage.
“What is extraordinary in Egypt is that a lot of these products made in military factories are sold in the general economy,” said Matteo Colombo, research fellow at the Netherlands Institute of International Relations Clingendael. “If you go to an Egyptian supermarket, you can easily find a bottle of water that is produced by the army.”
The International Monetary Fund has agreed to lend Egypt €6.8 billion to address economic challenges, but disbursements have been delayed, citing an economy “dominated by public-driven investments, an uneven playing field, and state-owned entities, including military ones.”
Egypt’s military involvement in the economy is not a recent development. It began under President Gamal Abdel Nasser in the 1950s and 1960s, when the army was used to centralize state control and ensure rapid response in times of crisis. His successor, Anwar el-Sadat, formalized the army’s role in civilian production by establishing the National Service Projects Organization in 1979, which oversaw military production of both civilian and defense goods.
“The military’s share of any market sector was small before 2011, but grew dramatically in ‘strategic’ sectors such as cement and steel, building on strong presidential support and the military’s political dominance,” said Yezid Sayigh, author of Owners of the Republic: An Anatomy of Egypt’s Military Economy. The 2011 revolution further accelerated the military’s economic expansion, giving it a direct role in policy-making and state investment strategy.
Since 2015, Egypt has faced severe economic pressures. Inflation peaked at 38 percent in September 2023 and slowed to 12.3 percent, while the Egyptian pound has depreciated sharply, dropping from 9 per euro in 2015 to over 55 today. Analysts suggest that military involvement may help stabilize prices for consumers, offering affordable products while fostering a sense of national pride.
However, experts caution that the army’s dominance creates an uneven market. “You run the risk that if you have a large military production, you have fewer possibilities for others,” Colombo said. Sayigh added that the army’s control diverts credit, dominates investment opportunities, and raises costs for private actors, limiting broader economic growth.
Despite the military’s extensive involvement, the exact scale of its economic holdings remains unclear. “People try to find out the percentage of the Egyptian economy that is controlled by the military. I think that’s the wrong question. No one knows. Not even they know,” said Khaled Fahmy, professor of Middle Eastern Studies at Tufts University.
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US Military Builds Up Forces in Arabian Sea as Iran Warns of Possible War
Tensions between the United States and Iran are rising as two US aircraft carriers operate in the Arabian Sea, military aviation activity increases and Tehran warns it is prepared for renewed hostilities.
Iran targeted at least 24 commercial vessels near the Strait of Hormuz over a two-week period, according to the Washington-based Institute for the Study of War (ISW). The United Kingdom Maritime Trade Operations (UKMTO), a Royal Navy organisation that monitors shipping safety, reported at least seven additional incidents between Monday and Wednesday.
The ISW said the incidents indicated that Iran retained the ability to threaten commercial shipping despite US strikes on its military infrastructure. Citing a US military official, the think tank said Iranian naval forces had adapted by using small boats and spotters to identify vessels after damage to their radar systems.
Iranian military leaders have issued increasingly forceful warnings. Major General Mostafa Izadi, deputy commander of the Islamic Revolutionary Guard Corps (IRGC), said on Thursday that Iran was advancing with strength and was ready to conduct its most powerful operations.
IRGC spokesman Hossein Mohibi said a new war would be irrational for Washington but acknowledged that the possibility of conflict remained. Army commander-in-chief Amir Hatami warned that any attack on Iranian infrastructure would prompt proportional strikes against Israeli and allied targets.
Mohsen Rezaei, secretary of Iran’s Supreme National Security Council, also warned that US targets, including data centres and artificial intelligence infrastructure, could be within range if fighting resumed.
Washington reinforces its military presence
The US Naval Institute confirmed on Tuesday that the aircraft carriers USS George Washington and USS George H.W. Bush were operating in the Arabian Sea. The Bush returned to the region after a port visit to Phuket, Thailand, while the George Washington had previously replaced the USS Abraham Lincoln.
The simultaneous presence of the carriers increases US naval strength in the region, although carrier deployments can reflect routine rotations and do not necessarily indicate an imminent attack.
US Central Command (CENTCOM) has released images showing F-15E fighter jets receiving aerial refuelling, flight operations from the George Washington and an F-35B taking off from the amphibious assault ship USS Boxer.
CENTCOM said US forces had redirected 130 commercial vessels under the naval blockade of Iran as of October 5. The figure was provided by the US military and has not been independently verified.
US President Donald Trump has not ruled out intensifying air strikes against Iran after the November 3 midterm elections. Asked about reports that his administration was considering the GBU-43/B Massive Ordnance Air Blast bomb, commonly known as the “mother of all bombs”, Trump said it was a very large conventional bomb, not a nuclear weapon.
Specialist flight-tracking account IntelSky reported that US Air Force tanker sorties over the region during the first 14 days of October were running about 50% above September’s daily rate. Transport aircraft activity had also increased, although the figures have not been independently verified and public tracking systems do not capture all military flights.
Reports earlier this month also indicated that around 9,000 additional US troops and sailors could be sent to the region. The USS Theodore Roosevelt had not yet reached the Arabian Sea as of Wednesday, according to the Naval Institute.
Meanwhile, Israel’s Channel 12 reported on Thursday that Western countries had detected unusual military movements inside Iran. The report said the developments did not necessarily require immediate military action. It also reported that Israeli Prime Minister Benjamin Netanyahu had discussed the situation with US Secretary of State Marco Rubio.
The military build-up and increasingly direct warnings from both sides have heightened concerns that the fragile situation could deteriorate into another round of large-scale fighting.
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Spanish Police Clear Ceuta’s Last Migrant Camp Ahead of Royal Visit
Spanish police have cleared Guano beach in Ceuta, where around 400 migrants had been living, ahead of a visit by King Felipe VI and Queen Letizia scheduled for October 13.
The operation began shortly after 8 a.m. on Sunday and involved the National Police, riot control units, immigration officials, the Civil Guard and local police. It was the final remaining migrant camp on the Spanish North African territory to be cleared following earlier operations at Tarajal and Trampolín beaches.
Migrants were gathered and transported by bus to the Temporary Centre for Foreigners (CATE), where authorities will begin registering their details. They are then expected to be accommodated in temporary reception facilities established by the government, including a camp at the port.
Some migrants left Guano beach before officers arrived, taking their belongings and heading towards nearby hills. Similar scenes occurred during earlier clearances, when some people avoided registration and returned to the beaches later, sometimes when food was distributed.
The latest operation follows a major wave of irregular migration from Morocco that brought more than 70,000 people to Ceuta at the end of July, according to the report.
Minors separated from adults
Police identified several minors during Sunday’s operation and gathered them separately from adult migrants. They are expected to be transferred to appropriate facilities for children.
Some young migrants carried signs asking authorities to place them in a centre for minors. Local media reported that several children had previously attempted to register with authorities but had subsequently left reception facilities or avoided the process.
The authorities began transferring migrants from Trampolín beach to temporary accommodation centres in Loma Margarita and El Embolsamiento on August 20. However, some later returned to the beach, repeating a pattern seen after a temporary reception facility at Ceuta’s port ran out of space.
Clean-up begins after eviction
After the camp was cleared, cleaning teams began removing tents, rubbish and other debris left behind by residents. The work is expected to continue throughout Sunday because of the amount of waste accumulated during the settlement’s long existence.
Environmental experts, working with the Ministry of the Environment, will assess the damage caused to the beach.
The camp had been associated with serious incidents, including two deaths, fights, thefts and other disturbances. Over time, an informal community also developed, with street markets and other activities taking place around the settlement.
The clearance comes two days before the royal couple’s visit to Ceuta. Felipe VI and Letizia are scheduled to attend a tribute to people who died at sea during the mass crossing at the Tarajal border.
After spending the night in Ceuta, the king and queen will travel to Melilla. The overnight stay will mark the first time a Spanish monarch has spent the night in Ceuta since King Alfonso XIII visited in 1904 and 1927.
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Scientists Warn of Possible Major Rockslide at Germany-Austria Border Mountain
Scientists have warned that a major rockslide could occur at Hochvogel, a mountain on the border between Germany and Austria, with between 250,000 and 400,000 cubic metres of rock potentially breaking away from its summit.
The warning follows a smaller collapse in June, when around 2,000 cubic metres of rock fell from the mountain in the Allgäu Alps. Researchers monitoring the site say movement along existing cracks has accelerated, raising concerns that a much larger section could become unstable.
Hochvogel stands 2,592 metres above sea level and forms part of the Allgäu High Alps. A major fissure in the summit has existed since the 19th century and has gradually widened. Records indicate that the crack was once approximately shoulder-width, but it now stretches several metres across.
Scientists from the Technical University of Munich (TUM) have monitored the mountain for 12 years. Since 2018, their work has included permanently installed sensors and measuring equipment, alongside drone surveys using laser scanners.
More than 30 sensors now collect data around the summit, recording movements with millimetre precision. During the spring, instruments detected movement of up to five millimetres per week. By comparison, the Alps generally shift by an average of around 1.8 millimetres a year.
Geology professor Michael Krautblatter, who leads the TUM research team, returned to the summit with colleagues in early October to inspect the terrain and monitoring equipment.
The main fissure was described by TUM in 2024 as being up to six metres wide, around 35 metres long and approximately 60 metres deep. Researchers are also concerned about a newer crack on the south-west ridge, known as “Fissure 6”, where the highest movement rates have been recorded.
The instruments transmit information several times an hour, allowing researchers to assess changes remotely and identify potential warning signs. Krautblatter told the German Alpine Club that similar early-warning systems are operating at only two other locations, Partnach Gorge and Höllental Gorge.
Scientists believe weather conditions could be contributing to the increasing instability. Johannes Leinauer, a member of the TUM team, told Deutschlandfunk that heavy rainfall, thunderstorms and melting snow had a clear influence on movement at Hochvogel.
He added that thunderstorms were becoming more frequent and intense because of climate change, potentially affecting the speed and frequency of rockfalls.
The mountain has long been closed to climbers approaching from the Austrian side, although the route from Germany remains open. Researchers hope continuous monitoring will help authorities identify dangerous conditions and restrict access before a collapse occurs.
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