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The report from the High Commission for Planning predicts that non-agricultural activities, in terms of added value, will slowdown by about 3% in 2026, before recovering and achieving growth of up to 4% in 2027. This is attributed to improvements in the industrial sector, increased domestic demand, and ongoing major investment projects. In the food industries, a growth rate of 2.4% is expected over the two years, while the textiles and apparel industries will continue to decline by 1.1% in 2026. However, this will be followed by a recovery of 1.3% in 2027, supported by strengthened value chains and opening up to new markets. The transport equipment industries are expected to rebound, with growth rates reaching 5.9% in 2026 and 5.7% in 2027, driven by increased demand for automobiles and the aviation sector. Conversely, the chemical industries will face fluctuations due to price volatility and supply chain disruptions, but production trends and U.S. tariffs on fertilizers could help them recover in 2027, buoyed by global demand. The agency also anticipates a decline in the mineral extraction sector in 2026 due to conflicts in the Middle East, followed by a recovery in 2027. The construction sector will experience a slowdown in 2026, with decreased demand and rising costs, but infrastructure projects and housing support will continue to drive growth. Meanwhile, activities within the secondary (industrial) and tertiary (service) sectors are projected to maintain positive growth rates, making significant contributions to the overall economy. This includes tourism, transportation, and non-market services, all of which are expected to rebound in 2027, supported by major projects such as the 2030 World Cup and expansions in transportation and infrastructure.
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