$1.9 billion... the proceeds of the “offerings” until June 2023

The government is working to improve the investment climate and attract many foreign direct investments to the Egyptian market, in addition to implementing its plan to exit public sector companies and open the way for the private sector to lead the development locomotive.

Dr. Mostafa Madbouly, Prime Minister, confirmed that the state has succeeded in achieving and announcing what has been implemented in government offerings, targeting $2 billion in corporate offerings on the stock exchange.

Huge incentives for investors

Madbouly added, during a press conference at the Cabinet headquarters in the Administrative Capital, that the state has always focused on supporting the private sector's efforts in commercial activities.

The government is also working to increase the state's foreign exchange earnings and take important steps to support the private sector, especially amending the investment law and increasing investment incentives, removing restrictions on establishing companies and allowing chemical companies to invest in the free zone system.

The state has graduated from a number of projects worth $1.9 billion

  The Council of Ministers may also grant incentives to projects, including exempting usufruct from the value of the land for a period of 10 years.

Madbouly confirmed that the state has graduated from a number of projects worth $1.9 billion so far. In the coming period, a number of other projects worth one billion dollars will be announced.

The government had established a unit to supervise the government offerings program in cooperation with all state institutions and the sovereign fund, and an international institution was contracted to be a consultant and marketer for the offerings process.

Good news to investors

The Prime Minister provided good news to investors, that the government exempted 20 industrial sectors from real estate tax for a period of 3 years, as the government launched a structural reform program two years ago.

He pointed out that 35% of the program was implemented in the sectors of agriculture, communications and manufacturing industries, and commodity exports increased last year, reaching 35 billion, stressing that the government announced the listing of 32 companies on the stock exchange.

Private free zones

The Prime Minister added that the government also encouraged the establishment of private free zones, as well as allowing foreign investors to obtain residency during the establishment of companies, to be able to deal with banks and open accounts easily, and the state launched a strategy to protect competition and amend the competition protection law. and prevent monopolistic practices.

Other non-tax incentives

Madbouly said that the incentives approved by the state and included in the amendments made to the investment law stipulate that all investment projects, whether established before the enforcement of the provisions of the investment law or at a later date, will enjoy the new incentives prescribed, and the expansion of the scope of companies that possess the golden license.

He noted that the incentives come to contribute to the implementation of projects that reduce the import bill and increase exports, which rose during the past five years by 16% each year, explaining that the state aims to increase exports by 20% annually.

  It was also established, within the amendments, that it is permissible, by decision of the Council of Ministers, to introduce other non-tax incentives, and to approve and offer them at a later time.