Engineer Ahmed Al-Zayyat: The government’s success in implementing the decisions of the Supreme Investment Council and the stability of the currency rate qualifies Egypt to become the largest region attracting foreign companies
Engineer Ahmed Al-Zayyat, a member of the Egyptian Businessmen Association, confirmed that the decisions of the Supreme Investment Council reflected the Egyptian government’s efforts to increase foreign direct investment by amending some legislation and some laws and granting financial and non-financial incentives For the foreign sector with the aim of encouraging foreign investments and attracting capital to Egypt.
Al-Zayyat added, the government launched 22 a decision with the aim of overcoming some challenges, the most important of which is bureaucracy, which the government is trying to address through the golden license And digital transformation within the investment sector.
He pointed to the importance of the decisions issued by the Council headed by President Abdel Fattah El-Sisi related to taxes and the stability of legislation in conjunction with the application of the electronic invoice and governance, decisions that greatly help in achieving tax justice between companies in the official system and the economy
A member of the Egyptian Businessmen Association stressed that the implementation of the decisions of the Supreme Investment Council and the government’s success in solving the two problems of currency stability and achieving tax justice, Egypt will be qualified to become the largest attractive area for many foreign companies in the period
He explained that through these mechanisms the government is seeking to increase foreign direct investment from $8 billion to 15 billion dollars during the current year and next year.
He pointed out that through these decisions and other implementation of good mechanisms, the political leadership in Egypt is working to achieve a strategic goal to increase the dollar revenues inside the Egyptian market, where there is a large dollar gap worth 17 billion Dollars, through direct foreign investment first and encouraging the local industry in addition to reducing the trade balance. The dollar in the official market has a value of 31 pounds, while in the parallel market it is equal to 38 pounds.
He added, the decisions of the Supreme Investment Council also address the problem faced by companies The difficulty of transferring profits outside Egypt, and the stability of the currency rate, as it is difficult to see real foreign investment on the ground without the stability of the currency price, which is what the government seeks to achieve through amendments in the legislation of corporate transfers between the parent company and the branch inside Egypt, in addition to the currency problem or hedging The currency within a year, and this solution contributes greatly to reassuring foreign companies of their entry into the Egyptian market. Egypt also started 5 years ago to establish economic zones by preparing the infrastructure and restructuring roads and ports. Especially from Southeast Asia and South Korea, pointing out that one of the most important features of the economic zone is its geographical location, which is distinguished for the movement of navigation and global trade. Factories, in addition to some tax exemptions and some facilities in tax collections, which have attracted many foreign companies to Egypt.