Egypt is on track to achieve its long-term goal of reducing the poverty rate to 6 percent by 2022. Continued progress towards this goal will require rapid employment growth for which agriculture growth, through its impact on demand for goods and services in the rural non-tradable sector will be of fundamental importance. This paper considers which agricultural policies will be most effective at reducing rural poverty in Egypt . Using household survey data from 1997 the study analyzes household income structure and determinants. Results indicate that agricultural policies that help to raise unskilled labor wages and/or increase demand for unskilled labor as well as those that support small animal/bird raising, in particular poultry, are best suited to help the poor. A longer-term strategy must also focus on enhancing formal sector employment through increased access to education for men and in particular women.