Egypt, with its rapidly growing population (the largest in the Arab world), limited arable land, and an over dependence on the Nile, has not surprisingly been looking to modernize it's economy. In 2005, Prime Minister Ahmed Nazif reduced personal and corporate tax rates, reduced energy subsidies, and privatised several enterprises. The stock market boomed, and GDP grew nearly 5%. Despite these achievements, the government has failed to raise living standards for the average Egyptian, and has had to continue providing subsidies for basic necessities.
The tourism industry is of vital economic importance...