(4 Minutes Read)
The minister highlighted the government’s phased plan to reduce non-tax financial and procedural burdens on investors. In the first phase, measures include reducing the Training Fund levy from 1 per cent of profits to 0.25 per cent of the minimum wage and amending the solidarity contribution tax to be calculated on profits rather than revenues.
Egypt’s Minister of Investment and Foreign Trade, Hassan El-Khatib, presented the government’s policies aimed at facilitating investment and enhancing Egypt’s foreign trade during a plenary session at the Senate. The minister also highlighted efforts to attract foreign investments and increase Egyptian exports to international markets.
El-Khatib announced that the ministry is finalizing Egypt’s strategic investment plan, which focuses on attracting foreign direct investment by improving the business environment and simplifying procedures.
This initiative aims to bolster Egypt’s competitiveness as a key regional hub for trade and investment, aligning with the ministry’s commitment to sustainable economic growth. The minister emphasised Egypt’s strategic advantages, including advanced infrastructure, new cities, a qualified workforce, a large consumer market, and a central geographic location that facilitates access to the Middle East, Europe, Africa, and Asia.
He noted the growing interest from new companies entering the Egyptian market, driven by diverse investment opportunities and significant growth potential. Additionally, Egypt benefits from renewable energy resources, preferential trade agreements with over 70 countries, and numerous investment incentives. Discussing the Sovereign Wealth Fund, El-Khatib explained its goal to maximize returns on state assets, revitalize national brands, and enhance their competitiveness and value.
He added that the ministry is working to create an investment-friendly climate by improving institutional and legislative frameworks, simplifying processes, and addressing challenges faced by investors. Financial, monetary, trade, and procedural policy reforms are also being implemented to provide more facilitation for investors and enhance Egypt’s foreign trade movement.
The minister highlighted the government’s phased plan to reduce non-tax financial and procedural burdens on investors. In the first phase, measures include reducing the Training Fund levy from 1 per cent of profits to 0.25 per cent of the minimum wage and amending the solidarity contribution tax to be calculated on profits rather than revenues.
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El-Khatib revealed a phased plan to cut customs clearance times, targeting four days in the first phase and just two days by 2025. This reform aims to boost Egypt’s trade competitiveness, significantly reduce logistics costs, and positively impact the business environment.
