The main objective of this study is to investigate the impact of Circular Economy (CE) on Sustainable Development (SD) in Egypt and also analyze the indicators of sustainable development and circular economy in Egypt by conducting theoretical review, descriptive analysis of the variables then study the relation between them through econometric model in order to detect the impact of Circular Economy on Sustainable Development in Egypt. Depending on Co-integration using bounds test based on Autoregressive distributed lag (ARDL). The results show that the concept of Sustainable Development is an interaction between economy, society and environment. Also the Circular Economy promotes the notions of cycles where nothing is waste out by depending on processes like recycling, reusing and reducing and it's necessary to integrate the Circular Economy strategies from the beginning during designing process. The study also shows there is positive relation between circular economy and sustainable development in general. The value of R2 IS 93.2% this mean 93.2% of the changes in Sustainable Development are due to Circular Economy. There are negative tendencies, and the equation constant is negative, and this means that the value of genuine saving that express the Sustainable Development is negative which means this negative value erodes the development`s outcomes that resulted from the application of Circular Economy strategy in Egypt.