Egypt was ranked number nine in the top ten African countries attracting more than 70 per cent of new foreign direct investment (FDI) projects announcements between 2003 and 2010, Ernst & Young's 2011 Africa Attractiveness Survey reveals.

According to the report titled ‘It's time for Africa’, Egypt has grown in FDI by 30 per cent from 2003 to 2010.

Africa’s top ten FDI countries included Ghana, which ranked first, having increased its foreign investment projects by 70 per cent within the same period, Libya (65 per cent), Angola (60 per cent), Tunisia (55 per cent) and Morocco (38 per cent).

The report, produced in collaboration with Oxford Economics, also expects Egyptian oil production to fall as reserves mature and run dry, but the fossil fuel sector is still expected to attract investors over the next five years.

“Bigger attractions for investors are Egypt’s large, relatively well-educated population, sizeable domestic market and proximity to Europe” the report reads.

The report seemed optimistic about Egypt’s future as an investment destination despite what it described as factors “slightly offsetting these positives, including the high levels of bureaucracy and corruption,” adding as well that the “recent government reforms in these areas should improve the institutional environment.

“Assuming that the political situation is resolved and reforms are continued, Egypt will remain an attractive destination for investors in the next five years.”

Foreign investment in Africa has grown strongly in the past decade as the continent has offered strong growth rates and high returns, consultancy Ernst & Young stated on Tuesday.

FDI jumped 87 per cent, from 338 new projects on the continent in 2003 to 633 in 2010, the firm stated in their survey.

"Africa has remained an attractive investment destination throughout the global downturn and has managed to maintain its relative share of global investment flows as a result," the company said.

"Strong growth in new projects into Africa is expected from next year with FDI inflows forecast to reach $150 billion by 2015."