Knowledge Investment is a new and unique concept. Converting the output of scientific research into reality requires a promising start-up. Knowledge economy should be given the priority it deserves and be considered one of the strategic objectives of the development plans in Egypt. With English increasingly being positioned as the pre-eminent language of international communication, the current study aims to propose a project to develop English language teaching in the Egyptian universities in the light of knowledge economy. It seeks to illustrate the key success factors in enhancing knowledge economy through English language teaching. To propose the project, the researchers designed a questionnaire of two parts; the first is to analyse the perceptions of Egyptian EFL postgraduate students and teaching staff of the current effectiveness of college English instruction in the Faculty of Education, Menoufia University. The second part of the questionnaire analyses the participants' perceptions of the goals of teaching English as a foreign language in the knowledge economy era. Based on the findings of the quantitative and qualitative data analysis, the researchers presented the suggested project to develop ELT in the Egyptian universities in the light of knowledge economy.