Housing is not just a shelter for population, but it is also an economic sector which creates direct and indirect multiplier effects on different sectors. Providing adequate public housing to the continuously growing population of Egypt has been one of the most urgent problems in Egypt over the past 70 years. During that period, the leading provider of public housing has been the State that faced major problems in coping with the high demand for affordable housing, and the quality of the units with regards to household's requirements. Housing is the largest component of household net wealth, representing 30% of world wealth. Housing investment, defined as the market value of the structure of new houses and improvements for existing houses, accounts for 2–8% of national output. Fluctuations in house prices have a direct impact on the level of macroeconomic activity by influencing private consumption. The real estate sector has become one of the main sectors within the Egyptian market on various levels. The real estate sector plays a vital role as a contributor to GDP growth in Egypt, as the weight of the sector in the nominal GDP reached 10.5%, end of FY16/17. Moreover, the real estate sector is the second biggest sector in the market capitalization for the Egyptian stock market, after the banking sector. Given this significant weight any vulnerability of the sector would have an impact on the Egyptian economy, either through the impact on GDP growth or through its impact on the financial market. Construction is referred to as an economic activity that involves the entire construction process from producing raw and manufactured building materials and components, and providing professional services such as design and project management, to executing the physical work on site.This paper reviews the literature on the relationship between housing projects and economic growth. While it is clear that housing construction and real estate investment creates jobs, the review found that should Clarify the Egyptian government’s vision regarding the housing sector and its interconnections with other sectors and the government’s vision and approach towards facing the challenges of the housing sector, acting as a confidence-building document and achieving economic efficiency. Should new housing projects be continued?