Evaluate the
Investment Efficiency in Agricultural Sector against other Economic Sectors

Dr.
Mohy Zeen Al-Abedeen Mohamed Darwish

Researcher - Agricultural Economics Research Institute, Agricultural Research
Center,
Egypt.

Email: [email-masked]

Abstract:
Investment is an
important factor affecting the growth performance of the economy sectors.
Effective investments can improve the efficiency of production resources using,
and make an intensive economic growth of the sector as well as to increase the
production capacity. The object of the paper is to present indicators designed
to measure the effectiveness of investments at the sector level and assess the
efficiency of investment in the agricultural sector comparing with other
economic sector in Egypt for a period of twenty years. Measuring the
effectiveness of investment is different national, public, private and overall
sectors level. On the basis of an analysis of available scientific tools, a
system of indicators measuring investment effectiveness at sector level was
setup. Input data for the analysis was obtained from database of the Central
Agency for Public Mobilization and Statistics, website, and Ministry of
Planning and Economic Development, website. With annual data on selected
economic indicators in different economic sectors for a period of years
(2000/2001-2019/2020). Data was used in calculation of individual indicators for
evaluating investment effectiveness. Results of analysis showed an insufficient
investment in agricultural sector in Egypt. The effects of the implemented
investments occur sufficiently in the most important performance indicators.

[Mohy Zeen Al-Abedeen Mohamed
Darwish Evaluate the Investment
Efficiency in Agricultural Sector against other Economic Sectors Nat Sci 2021;19(9):33-42]. ISSN 1545-0740 (print); ISSN 2375-7167 (online).
http://www.sciencepub.net/nature 5.
doi:10.7537/marsnsj190921.05.

Keywords: Privet Sector, Public Sector, (Government), Rerurn On
Pound, Invested, Partecepate, Investment, Evaluate.

1.
Introduction:

Although investment is regarded as a key
force of economic growth, little studies has been done to measure the Egyptian
investment efficiency. Investment plays the main role to face the increasing
demand upon development requirements. It is also one of the essential means of
implementing comprehensive development programs overall economic sectors at the
state level, which distributes investment to each sector for generating
appropriate returns. This is through implement the suitable economic programs,
which increases the production capacity to decrease imports and increase
exports, as well as adding a new employment opportunities to solve the problem
of unemployment, improving the trade balance and balance of payments so,
increasing the national income, which reflect the high in real income level of
individuals.

The
problem of the study:

The volume of available
investments is one of the most important components of the GDP for
implementing, succession of agricultural development programs and its efficient
use, but there is a relative decrease in the volume of investments directed to
the agricultural sector (public and private sectors), as a result of the
imbalance in the volumes and distributed of these investments, which is not
commensurate with the importance and magnitude of the sector's contribution to
GDP and its role in promoting agricultural development in particular and
economic development in general, compared with other economic sectors, which
affected negatively on the performance of the Egyptian agricultural sector and
the rates of economic development.

The
object of the study:

To identify the development of
return on investment in agriculture sector compared with the other economic
sectors, through studying the development of national investments implemented
in economic sectors, identify the relative importance of national investments
implemented, and studying the return of the pound invested in agriculture and
other economic sectors. In addition to the share of the agriculture public
sector investments and gross domestic product (GDP), to find out the actual
reasons for the decrease of investments in the agricultural sector.

2.
Methodology and sources of Data:

In order to achieve the
objectives, the regression analysis has been used to explain and describe some
economic variables to elicit and interpret results, so mathematical and
statistical methods are used to determine the nature of the data and research
objectives, as linear regression models of the most important variables related
to the subject matter, the use of simple regression models in their various
forms. (linear, half logarithmic and double logarithmic) of economic variables
has been done, for choosing the best of it according to economic and
statistical logic, as well as the return on the invested pound. The research
was based on data published on the website of Ministry of Planning and Economic
Development, Ministry of Agriculture and Land Reclamation, the Central
Department of Economic Affairs, the Central Agency for Public mobilization and
Statistics, and other sources mentioned in its place.

Discussion
of Results:

1- The national investments carried out in the most
important Egyptian economic sectors:

This includes the study of the development of national
investments in commodity economic sectors, including investments in public,
private and total of the two sectors, including agriculture, industry,
Quarrying and mining, petroleum and its products, electricity water, natural
gas, as well as the productive services sector, which includes construction,
transport, communication and storage.

Table (1) Indicate linear
regression of the implemented national investments in Egypt During the period
(2000/2001-2019/2020) in which investments in the public, the private and the
total of the two sectors, are showed an increase in statistical mean rates of
about1168.7, 614.4,1783.1 million pounds per year. As for the industry and
mining sector, there were a statistically significant increase in national
investments carried out in the public sector estimated at 1810.3 million pounds
per year, and the private sector estimated at 2403 million pounds per year, and
about 4213.5 million pounds per year, for the total public and private sectors,
during the period of the study.

In examining the development of
national investments in the petroleum sector and its products, it was found
that investments in the public sector increased by 916 million pounds annually,
which were statistically significance, and that investment in the private
sector increased by 378.2 million pounds annually. The increase is
statistically significant estimated at 0.1 %.

Investments
in the electricity (public sector) also show a statistically significant
increase of 4292.1
million pound per year. For the private sector, there is only limited
investment. and for the total public and private sectors, the increase in
investments carried out is estimated at LE5273.4 million per year, which is
statistically significant at 0.1%.

As for the estimated directional
relationships of the construction and building of the public, the private and
the total sectors together, the public sector has increased by about LE1308.2
million annually, and about LE542.2 million, respectively, for both the private
sector and the total sectors, this is statistically significant at 0.1%..

As for the estimated trend
relations of national investments in the transport and storage sector during
the study period, the increase in investments allocated to the public sector
was estimated at LE 2896.6 million per year, the private sector at LE 1213.4
million per year, and the total of the two sectors increased by LE 4110 million
per year, and their morale has been statistically significant at 0.1%.

Table
(1) Indicate linear regression of the implemented national investments in Egypt
During the period (2000/2001-2019/2020)

T

R2

General
trend equations

3.71

0.43

Agriculture (public)

Yi = – 4487.5 + 1168.7 Xi

(- 1.19) (3.71)

5.20

0.60

Private sector  Yi = 880.9 + 614.4 Xi

(0.62) (5.20)

4.28

0.50

Total Public and Private

Yi = – 3606.6 + 1783.1 Xi

(- 0.72) (4.28)

3.75

0.44

Industry
(Public )

Yi
= – 8606.5 + 1810.3 Xi

(- 1.49) (3.75)

6.71

0.71

Private Yi
= – 2727.6 + 2403.3 Xi

(- 0.64) (6.71)

6.48

0.70

Total Public and Private

Yi = – 11334.2 + 4213.5 Xi

(- 1.45) (6.48)

3.28

0.37

Petroleum
and its products (public)

Yi
= 1027.6 + 916 Xi

(0.31) (3.28)

2.12

0.20

Private
Yi = 5920 + 378.2 Xi

(2.77) (2.12)

3.63

0.42

Total Public and Private

Yi = 6947.6 + 1294.2 Xi

(1.63) (3.63)

4.45

0.52

Electricity
(public)

Yi = – 17884 + 4292.1 Xi

(-1.55) (4.45)

2.29

0.23

Private     Yi = –
6092.7 + 981.3 Xi

(- 1.19) (2.29)

4.86

0.57

Total Public and Private

Yi = – 23976.7 + 5273.4 Xi

(- 1.84) (4.86)

3.66

0.43

Construction (public)

Yi = – 7948.1 + 1308.2 Xi

(- 1.86) (3.66)

5.02

0.58

Private     Yi = –
1425.1 + 542.2 Xi

(- 1.10) (5.02)

4.13

0.49

Total Public and Private

Yi = – 9373.3 + 1850.4 Xi

(- 1.75) (4.13)

5.85

0.66

Transport
and Storage r (public )

Yi
= – 7941.2 + 2896.6 X

(- 1.34) (5.85)

7.87

0.78

Private  Yi
= – 2024.5 + 1213.4 Xi

(- 1.10) (7.87)

6.78

0.72

Total Public and Private

Yi = – 9965.8 + 4109.9 Xi

(- 1.37) (6.78)

5.24

0.60

Water sector (public)

Yi = 1055.5 + 364.8 XI

(1.27) (5.24)

3.51

0.41

Natural gas (public)

Yi = – 4213.6 + 1161.6 Xi

(- 1.10) (3.51)

6.17

0.68

Private     Yi = –
7747 + 3406.9 Xi

(- 1.17) (6.17)

7.49

0.76

Total Public and Private

Yi = – 11960.6 + 4568.4 Xi

(- 1.64) (7.49)

Where: Y: expresses the
national investments made in each sector. i: expresses years 1, 2, 3, ... N, x i:
expresses the variable of time .

Source: Collected and calculated
from: Ministry of Economic Development website. www.mop.gov.eg.

Where:

Yi
expresses the national investments made in the private sector. Xi
Expresses the national investments carried out in the public sector.  R2: Express the coefficient of
determinate.

The water sector has no private sector investment, and the increase in
public sector investments has been found to be about LE 365 million per year. The increase in gas
investment to the public sector has been shown at an annual rate of about
LE1161.6 million. As for the private sector, it has been estimated at LE3407
million per year, and the total number of sectors has increased by about
LE4568.4 million per year.

2- The relationship of the implement investigation
between public & private sectors in the agricultural:

In order to study the
relationship between investments carried out in the public and the private
sector for agriculture during the period (2000/2001-2019/2020), a positive
relationship was found between the two variables, increasing at rate of 0.403
million pounds, it was statistically significant increase 0.1%, as in the
following equation:

Yi = 4198.9 + 0.403 Xi

(7.140) (8.80)

R2 = 0.81

Table (2) Indicate the most important
regression models in half logarithmic form without lag period, and with two and
three years lag in national investments where the results of the analysis are
shown for a two-year lag (N-2), three-year lag (N-3), The best models used,
based on the value of R2 coefficient, are the half - logarithmic
model of the full series, with a determination factor of about 0.56, and two -
years lag of about 0.66, and, in the case of three-years lag, a determination
factor of about 0.67.

Table (2): the most important regression in half logarithmic
form for national investments implemented in total public and private
sectors(2000/2001-2019/2020)

T

R2

General
trend equations

4.82

0.56

Image half logarithmic (full)

Login Yi = 3.65 + 0.0386 Log X

(37.99)
(4.82)

5.61

0.66

Image half logarithmic (2-year lag)

Login Yi = 3.60 + 0.0487 log x n- 2

(38.3)   (5.61)

5.49

0.67

Image half logarithmic (three-year lag)

Login Yi = 3.61 + 0.0522 Log x n- 3

(37.0)   (5.49)

Source: Collected and calculated from: Ministry of Economic
Development website. www.mop.gov.eg.

3 - The relative
importance of the national investments carried out in the agricultural sector
against the relative average of the rest of the economic sectors:

Studying the relative importance of national investments
in agriculture compared with relative importance of the rest of economic
sectors during the period (2000/2001-2019/2020).

Table (3) indicated that the relative importance of the
agriculture sector fluctuated between a minimum of 1.9 % in 2016/2017 and
maximum about 14.2 % in 2001/2002, with an average of about 5.8 %.

As shown in the table, the
overall relative importance of the rest of the economy fluctuated from a
minimum of 3.35 % during 2016/2017, and maximum of about 7.16 % during
2008/2009, with an average of about 6.12 %.

Table (4) indicated that the
relative importance of the agriculture sector for the first period (2005/2006 -
2009/2010), was 4.2 %, industrial and mining 14.4 % , petroleum sector and its
products 10.8 % electricity sector 6.4%, construction sector 2.0%, transport
and storage 11.7 %,, water sector 3.2%, natural gas sector 13 %, of total
investment.

Compared the first period
(2005/2006-2009/2010) with the second period (2010/2011 - 2015/2016), it found
that the relative importance decreased overall sectors.

According to the third period
(2016/2017- 2019/2020), the relative importance of investments had increased in
agriculture, industry, electricity, construction and transporter & storage
sectors. While it decreased in petroleum and its products, water sector and
natural gas sector.

Table (3): the relative importance of
national investments in agriculture And other economic sectors in Egypt during
(2000/2001-2019/2020)

% other
sectors

%Agriculture

Years

5.64

12.9

2000/2001

5.68

14.2

2001/2002

5.62

9.4

2002/2003

5.48

9.5

2003/2004

5.72

7.7

2004/2005

6.39

6.9

2005/2006

6.47

5.0

2006/2007

6.99

4.0

2007/2008

7.16

3.5

2008/2009

7.15

2.9

2009 /
2010

6.32

3.0

2010/2011

5.28

2.2

2011/2012

5.87

3.5

2012 /
2013

5.68

4.4

2013 /
2014

5.36

4.0

2014 /
2015

3.62

2.4

2015 /
2016

3.35

1.9

2016 /
2017

6.33

6.7

2017/2018

5.47

5.3

2018 /
2019

5.86

6.0

2019/2020
*

6.12

5.8

Average
period

Source: Ministry of Planning and
Economic Development website, www.mop.gov.eg.

Appreciation* .

4- The return of pound invested on the national
investments implemented in the agricultural sector against the rest of the
economic sectors:

The pound returns used to know
how efficient the economic sectors in achieving a higher return than other
sectors. It calculated from the following equation:

Return of the pound invested  = GDP per sector / total investment in the
same sector.

Refers to the table number (5),
it indicated a fluctuation in return of pound invested in the agricultural
sector (public sector), ranged between 0.13 pound in 2017/2018, and 0.82 pound
in 2012/2013, with an average by 0.44 pound.

It also indicated a fluctuation
of returns of pound invested in the rest of the economic sectors (public
sector), ranged between 0.07 pound in 2017/2018, 0.53 pound in 2016/2017, with
an average 0.23 pound.

As for privet sector it showed
that return of the pound invested in the agricultural sector 0.11 pound in
2001/2002 and 0.78 pound in 2011/2012, with an average of 0.32 pound.

The return of pound invested in
the rest of the other economic sectors in (private) fluctuated between 0.05
pound in 2007/2008 and 0.22 pound in 2017/2018 with an average of 0.12 pound
the period of the study.

Table (6) indicated the return of
pound invested in national investments implemented as average in three periods,
(2005/2006 – 2009/2010), (2010/2011-2015/2016) and (2016/2017-2019/2020),
the average return on pound invested in construction (public sector) has
increased from about 0.53 pound in first period, to about 0.62 pound during the
second period, and decrease to about 0.11 pound during the third
period. While the average return of pound invested in private sector in
national investments increased from about 0.13 pound during the first period,
to about 0.29 pound during the second period, it fell to about 0.23 pound
during the third period.

As for the agriculture, the
average pound return for the public and private sectors increased during the
first and second periods, while it fell to about 0.17 pound and 0.28 pound for
the public and private sectors, respectively, during the third period. As
for industry and mining also showed that the average pound return increased
during the first and second periods, from about 0,30 pounds to about 0.71
pounds, and then decrease to about 0.20 pound during the third period, this
average has increased in the private sector overall the three periods to 0.07,
0.13, 0.17 pound, respectively.

As for the petroleum sector and
its products, it found that the average return of pound invested in the public
sector decreased during the first period from about 0.07 pounds, to about 0.06
pounds during the second period, and increased to about 0.16 pounds during the
third period. The average in the private sector decreased during the first
period from about 0.084 pounds, to about 0.083 pounds during the second period,
and increased to about 0.23 pounds during the third period. In natural gas
sector the average pound return on national investments in the public sector
was increased from 0.18 pounds during the first period, to 0.20 pounds during
the second period, and to 0.10 pounds during the third period. The average
in the private sector during the first period was 0.04 pound, decrease to 0.05
pound during the second period, and 0.04 pound during the third period.

As for electricity, the average
of pound return on national public sector investments increased from 0.1 pounds
during the first period, to 0.2 pounds during the second period, and then fell
to 0.08 pounds during the third period. The average in the private sector
increased from zero during the first period, to about 0.23 pound during the
second period, and then to 0.04 pound during the third period. The average
pound return on national investments in water public sector has increased
overall the three periods, 0.06, 0.2, 0.4 pound, respectively..

Table (4): The
relative importance of the national investments carried out in the most
important economic sectors in Egypt for the average of three periods (2005/2006
- 2009/2010), (2010/2011 - 2015/2016), (2016/2017 - 2019/2020) (Value in
million pounds)

Sectors

Periods

Item

Agriculture

Industry

And mining

petroleum

And its
products

Electricity

Construction

Construction
*

Transport

Storage *

Water

Natural
Gas

Average

Investments

College

(Million
pounds)

(2005 /
2006) - (2009 / 2010)

Value

7502.6

25840.1

19387.8

11544.8

3585.5

21127.7

5750.0

23434.8

179916.4

%

4.2

14.4

10.8

6.4

2.0

11.7

3.2

13.0

(2010 /
2011) - (2015 / 2016)

Value

10318.1

29741.6

31583.6

16283.2

4820.3

29956.7

5757.1

36058.2

333739.3

%

3.1

8.9

9.5

4.9

1.4

9.0

1.7

10.8

(2016 /
2017) - (2019 / 2020)

Value

40933.2

80676.6

21334.2

111082.2

36607.6

82652.6

7087.3

88300.4

840343.3

%

4.9

9.6

2.5

13.2

4.4

9.8

0.8

10.5

Source: Collected
and calculated from Data: Ministry of Planning and Economic Development
Website. www.mop.gov.eg.

* The construction sector includes
transport and storage within production services.

** includes agriculture, industry,
mining, oil and its products, electricity and natural gas.

The average return on pound
invested in public sector in transport and storage increased from 0.3 pound
during the first period, to 0.5 pound during the second period, and then fell
to 0.4 pounds during the third period.

The average in private sector of
return of pound invested in the first period was 0.4 pound increased to about
0.8 pound during the second period, and to about 0.9 pound during the third
period. From the above, it is clear that the return on pound invested in
the agriculture sector was second, as shown in table (6), and that the third
period showed a decline in the pound invested in the majority of sectors as a
result of post-revolution conditions during the period (2016/2017- 2019/2020).

Table (5): The
return on pound invested in the agricultural, and other economic sectors
(public and private) in Egypt during (2000/ 2001-2019/ 2020)  (value in pounds)

The

year of

Agriculture

(the public)

the rest of the economic
sectors

(public)

Agriculture

(Privet)

the rest of the economic
sectors

(privet)

2000/2001

0.20

0.16

0.12

0.08

2001/2002

0.17

0.15

0.11

0.09

2002/2003

0.22

0.22

0.22

0.10

2003/2004

0.21

0.28

0.19

0.17

2004/2005

0.26

0.21

0.19

0.11

2005/2006

0.36

0.23

0.19

0.06

2006/2007

0.47

0.16

0.21

0.06

2007/2008

0.48

0.18

0.26

0.05

2008/2009

0.59

0.19

0.39

0.06

2009/2010

0.66

0.16

0.49

0.07

2010/2011

0.58

0.22

0.53

0.07

2011/2012

0.79

0.32

0.78

0.21

2012/2013

0.82

0.35

0.44

0.14

2013/2014

0.71

0.36

0.39

0.19

2014/2015

0.63

0.32

0.40

0.17

2015/2016

0.70

0.19

0.31

0.14

2016/2017

0.63

0.53

0.34

0.11

2017/2018

0.13

0.7

0.26

0.22

2018/2019

0.15

0.18

0.27

0.15

2019/2020*

0.14

0.09

0.27

0.20

Average
period

0.44

0.23

0.32

0.12

Source::
website of the Ministry of planning and economic development www.mop.gov.eg .  * recitation App .

5 – The development of return on pound invested in
economic sectors and in (GDP):

Table (7) indicates the
development of return on pound invested in the economic sectors (public.
Private, the two sectors) and (GDP) during Period (2000/2001 - 2019/2020), the
return on the pound invested in agriculture were 1.04, 1.12, 0.5 pound and 22914.

The returns on the pound invested
in industry and mining sector were 1.32, 0.17, 0.14 pound and39480 million
pounds annually.

As for the petroleum sector and
its products, the returns on pound invested were 0.08, 1.51, 0.32 pound and
10817 million pounds annually.

Regard to the electricity sector
(public and private and the total) the return on pound invested were 0.4, 0.74,
0.06 pound respectively, while the gross domestic product (GDP) was 4137
million pounds annually.

The return on pound invested in
construction sector, were 0.26, 1.10, 0.33 pound and14493 million pounds
annually.

As for the transport in public
& private sector the total of two sectors and Gross domestic product (GDP)
were 0.09, 0.10, 0.06 pound and 11169 pounds, annually respectively.

As for water (just public sectors
and GDP the annual rate were 0.14pound and 1461 million pounds annually.

As for natural gas sector the
returns were 0.017, 0.074, 0.033 pound and 13079 million pounds annually.

Table (6): The
average return on the pound for national investments implemented in the
economic sectors as an Average of the three periods (2005/2006 - 2009/2010),
(2010/2011 - 2015/2016), (2016/2017 - 2019/2020) (million pound)

Sectors

The
average period

Agriculture
and land reclamation sector

Industry
and mining sector

The
petroleum sector and its products

Electricity
sector

public
sector

(pound)

Private
sector (pound)

The total
of the two sectors

(pound)

gross domestic production

)million pound(

public
sector

(pound)

Private
sector (pound)

The total
of the two sectors

(pound)

gross domestic production

)million pound(

public
sector

(pound)

Private
sector (pound)

The total
of the two sectors

(pound)

gross domestic production

)million pound(

public
sector

(pound)

Private
sector (pound)

The total
of the two sectors

(pound)

gross domestic production

)million pound(

The first period: (2005/2006) -

(2009/2010)

0.51

0.29

0.19

139970

0.30

0.07

0.06

142197

0.07

0.084

0.30

54333

0010

0.0

0.010

11641

The second
period:

(2010/2011)
-

(2015/2016)

0.69

0.42

0.26

268550

0.71

0.12

0.11

336 259

0.06

0.083

0.04

115506

0.02

0.23

0.02

32288

The third
period:

(2016/2017)
-

(2019/2020)

0.17

0.28

0.11

429959

0.20

0.17

0.09

729807

0.16

0.23

0.09

201227

0.08

0.04

0.07

74921

Source:
Ministry of Planning and Economic Development website, www.mop.gov.eg.

Continued table (6):
The average return of the Egyptian pound for national investments implemented
in some economic sectors in Egypt for the average of the three periods
(2005/2006 - 2009/2010), (2010/2011 - 2015/2016), (2016/2017 - 2019/2020)

Sectors

The
average period

The
construction sector

Transport
and storage sector

The water
sector

The
natural gas sector

public
sector

(pound)

Private
sector (pound)

The total
of the two sectors

(pound)

gross domestic production

)million pound(

public
sector

(pound)

Private
sector (pound)

The total
of the two sectors

(pound)

gross domestic production

)million pound(

public
sector

(pound)

gross domestic production

(million pound)

public
sector

(pound)

Private
sector (pound)

The total
of the two sectors

(pound)

gross domestic production

)million pound(

The first period: (2005/2006) -

(2009/2010)

0.53

0.13

0.11

37471

0.03

0.04

0.17

35474

0.06

3282

0.18

0.04

0.03

70628

The second
period:

(2010/2011)
-

(2015/2016)

0.62

0.29

0.20

95602

0.05

0.08

0.30

87641

0.02

11599

0.20

0.05

0.04

136531

The third
period:

(2016/2017)
-

(2019/2020)

0.11

0.23

0.07

265500

0.04

0.09

0.25

205155

0.04

25397

0.10

0.04

0.02

231835

Source:
Ministry of Planning and Economic Development website, www.mop.gov.eg.

Table (7): the
estimated directional relationships for the development of the invested pound return
for some economic sectors in Egypt during the period (2000/2001-2019/2020)

T

R2

General trend equations

1.12

0.07

Agriculture (Public sector) Yi =
33.424 + 1.043 xi    (2.99) (1.12)

1.92

0.17

private sector        Yi =
19.993 + 1.122 xi     (2.86) (1.92)

1.33

0.09

total public and private sectors Yi
= 12.967+ 0.466 xi     (3.10) (1.33)

18.85

0.95

gross domestic product Yi = -
21617.0+ 22913.5 xi  (- 1.48)
(18.85)

0.78

0.03

Industry and mining sector (public sector)    Yi = 41.579 +
1.319 xi    (2.05) (0.78)

- 0.62

0.02

private sector        Yi =
17.693 - 0.171 xi     (5.34) (- 0.62)

- 0.70

0.03

Total public and private sectors  Yi = 12.579 - 0.137 xi   (- 0.70)  (5.33)

10.44

0.86

gross domestic product Yi = -
112916.9+39480 xi      (- 2.49) (10.44)

- 0.15

0.001

Petroleum sector and its products (public
sector)     Yi
= 15.274 - 0.075 xi   (2.59)
(- 0.15)

2.93

0.32

private sector       Yi  = - 3.540 + 1.512 xi   (- 0.57) (2.93)

3.36

0.39

Total public and private
sectors     Yi = 1.486 + 0.321 xi    (1.30) (3.36)

11.10

0.87

gross domestic product  Yi = - 18512.6+10816.9 xi    (- 1.59) (11.10)

1.11

0.06

Electricity sector (public sector)   Yi = 1.241 + 0.042 xi        (2.74) (1.11)

1.46

0.11

private sector      Yi = 1.494 + 0.737 xi     (0.25) (1.46)

1.67

0.13

Total public and private sectors Yi
= 0.937+0.058 xi  (2.25) (1.67)

9.66

0.84

gross domestic product Yi = -
14264.9 + 4136.7 xi     (- 2.78) (9.66)

0.18

0.002

Construction sector (public sector)     Yi = 55.474 +
0.258 xi    (3.31) (0.18)

1.75

0.15

private sector        Yi =
12.851 + 1.103 xi     (1.70) (1.75)

0.81

0.04

Total public and private sectors     Yi =
12.088 +0.331 xi       (2.48) (0.81)

8.20

0.79

gross domestic product Yi
= - 56635.5 +14492.5 xi        (- 2.67) (8.20)

2.16

0.21

Transport and storage sector
(public sector)    Yi
= 2.646 + 0.088 xi  (5.41) (2.16)

1.05

0.06

private sector      Yi = 6.449 + 0.098 xi       (5.73) (1.05)

2.24

0.22

Total public and private sectors    Yi = 1.768 +
0.055 xi      (5.99) (2.24)

9.61

0.84

gross domestic product Yi = -
36430.4+ 11168.8 xi   (-
2.62) (9.61)

4.39

0.52

Water sector (public sector)
Yi = 0.472 + 0.135 xi
(1.28) (4.39)

10.3

0.85

gross domestic product   Yi = - 5545.2 +
1461.3 xi    (- 3.25) (10.3)

0.03

4.55

Natural gas sector (public sector)    Yi = 23.869 + 0.017 xi     (3.30) (0.03)

1.50

0.11

private sector      Yi = 3.145 + 0.074 xi          (5.30) (1.50)

0.79

0.034

Total public and private sectors  Yi = 2.795 + 0.033 xi      (5.53) (0.79)

9.52

0.83

gross domestic product Yi = -
28092.1+ 13078.8 xi         (- 1.71) (9.52)

Where: Y: It expresses
the national investments implemented for each sector. X1: Express the time
variable, i: Express years 1, 2, 3, .n. Source: Collected and calculated from:
Table No. (5) in the appendix.

6- Table (8) indicate the participate of the agricultural
public sector (government) investments and other economic sectors:

The participate of the agricultural
sector from public sector investments and other economic sectors as average of
three periods, it were 2740.9, 38824.9, 25538.2 million pounds, representing
about 5.8 %, 5.5 % and 9.9 % of the total national government investments for
the three periods, respectively.

The cross domestic productions of
agricultural sector to the total GDP were 39.4 % , 32.9 % and 24.8 % in the
three period, respectively.

Although the less investments
directed to agricultural sector its
participate , in non-oil exports, estimated at 8.7%, 10.9%, and 10.5%,
as an average of the three periods, respectively, also  it participate in labor force, with  30.5 %, 27.2 % and 21.3 %, respectively.

Table (8): The participate of the public agricultural
sector from public sector investments (government) and other economic sectors
as average of the three periods (2005/2006 - 2009/2010), (2010/2011 -
2015/2016), (2016/2017 - 2019/2020)    (in million pounds)

% agricultural of total local production

GDP

all sectors

GDP of the agricultural
sector

%

agricultural of Total
National investments

National

government investments

Government

investment

in

Agriculture

The statement

The average
period

39.4

355025.8

139970.0

5.8

47424.0

2740.9

The first period:

(2005/2006) -

(2009/2010)

32.9

815425.2

268549.5

5.5

70686.4

3882.9

The second period:

(2010/2011) -

(2015/2016)

24.8

1733842.0

429959.5

9.9

256783.4

25538.2

The third period:

(2016/2017) -

(2019/2020)

Source: Data collected and calculated from:
The website of the Ministry of Planning and Economic Development. www.mop.gov.eg.

Table (9): The participate of the public agricultural
sector from public sector exports (government) and other economic sectors as
average of the three periods (2005/2006 - 2009/2010), (2010/2011 - 2015/2016),
(2016/2017 - 2019/2020)
(in million dollars)

% For the agricultural sector Of national
employment

Total employment or (employment) (Thousand
workers)

Agriculture's share of running Employment

(Thousand workers)

% To Share To grow from exports Non-oil
nationalism

Total national exports is Petroleum

(In million dollars)

Agriculture share of Exports

(In million dollars)

The statement

The average
period

30,5

26543

8107

8,7

17804

1607

The first period:

(2005/2006) -

(2009/2010)

27,2

29506

8022

10.9

27216

2918

The second period:

(2010/2011) -

(2015/2016)

21,3

30895

6571

10,5

26510

2747

The third period:

(2016/2017) -

(2019/2020)

Source: Data collected and calculated
from: The website of the Ministry of Planning and Economic Development. www.mop.gov.eg.

Conclusions:

Investment is regarded as a key
force of economic growth, little studies has been done to measure the Egyptian
investment efficiency. Investment plays the main role to face the increasing
demand upon development requirements.

It is also one of the essential
means of implementing comprehensive development programs overall economic
sectors at the state level, which distributes investment to each sector for
generating appropriate returns. This is through implement the suitable economic
programs, which increases the production capacity to decrease imports and
increase exports, as well as adding a new employment opportunities to solve the
problem of unemployment, improving the trade balance and balance of payments
so, increasing the national income, which reflect the high in real income level
of individuals.

Agricultural was able to increase value added in the GDP.
The most important results were:

1-
The relative importance of the agriculture sector for the first period
(2005/2006 - 2009/2010), was 4.2 %, industrial and mining 14.4 % , petroleum
sector and its products 10.8 % electricity sector 6.4%, construction sector
2.0%, transport and storage 11.7 %,, water sector 3.2%, natural gas sector 13
%, of total investment.

2-
The return of pound invested in the agricultural sector (public sector),
ranged between 0.13 pound in 2017/2018, and 0.82 pound in 2012/2013, with an
average by 0.44 pound.

3-
The return of pound invested in the rest of the other economic sectors
(private) were 0.05 pound in 2007/2008 and 0.22 pound in 2017/2018 with an
average of 0.12 pound the period of the study the return on pound invested in
the agricultural sector were 0.11 pound in 2001/2002 and 0.78 pound in
2011/2012, with an average of 0.32 pound.

4-
The participate of the agricultural sector from public sector
investments and other economic sectors as average of three periods, were
2740.9, 38824.9, 25538.2 million pounds, represented 5.8 %, 5.5 % and 9.9 % of
the total national government investments for the three periods, respectively.

5-
The cross domestic production of agricultural sector to the total GDP
were 39.4 % , 32.9 % and 24.8 % in the three period, respectively.

6-
Although the less investments directed to agricultural sector its participate,
in non-oil exports, estimated at 8.7%, 10.9%, and 10.5%, as an average of the
three periods, respectively, also it participate in labor force, with 30.5 %,
27.2 % and 21.3 %, respectively.

References:

[1].   Anderson, T.W (1971) “The statistical Analysis
of time series “ New York.

[2].   Anderson, T.W and C. Hsiao(1981) "Estimation of
Dynamic Models with Error Components" American Statistical Association.

[3].   Harry Frank & Steven C. Althoen, Cambridge
University Press ‘Statistics concepts and applications, first Edition
1994 .

[4].  Jone Miller Cambridge University” Statistics for
Advanced level” second edition 1994.

[5].
J.N. Kapur, &
H. G. Saxena , “ Mathematical Statistics “ Fifth eition1969.

[6].
Wang, C.: Research on investment efficiency. Tianjin
Finance & Economics University (2004).

[7].  Central Agency for Public Mobilization and Statistics,
website. www.Capmes.gov.eg.

[8].  Ministry of Planning and Economic Development,
website.

9/12/2021