Egypt’s Finance Minister Mohamed Maeet stressed that the present global economic crises doubled the importance of international and regional partnerships, which form the locomotive of economic and social development and open promising prospects for enhancing the private sector’s role in economic activities.
This is realized in a manner that contributes to improving citizens’ living conditions as well as the services offered to them, Minister Maeet told the 14th Turkish – Arab Economic Forum (TAF’2023) held in Istanbul on Wednesday.
He also called for looking into new and innovative opportunities for cross-border co-operation, and in the meantime adopting policies likely to stimulate sustainable economic and social development.
Maeet also referred to an incentive package that Egypt offers to attract local and foreign private sector to investments, expand participation in economic development, and maximise its role in the GDP, via raising its share in investments to 65 per cent over the coming years. This, he said, will create more job opportunities.
He also referred to efforts to streamline procedures, and the expansion of the “Golden License,” which grants a project one approval for establishment, operation, and management.
It also bolsters the role of private investments in economic mobility, along with the “State Ownership Policy Document” and the “government’s IPOs” which support the empowerment of the private sector, he said.
In addition, tax exemptions of 33 per cent to 55 per cent are offered on revenues of green hydrogen projects that start production over the five coming years. Production equipment, machines, and raw materials for these projects are also free of value-added tax, the minister said.
Maeet noted that the government aims to direct up to 50 per cent of its direct investments to projects of environmental sustainability.
Meanwhile, Maeet said that Egypt had issued Panda bonds worth 3.5 billion Yuan ($500 million) on the Chinese market, and Yen-denominated Samurai bonds with a value of 75 billion Yen (about $500 million) in Japan, as part of a strategy aiming to diversify financing sources and entering new markets.
At the bilateral level, Minister Maeet stressed the importance of bolstering ties with Türkiye ,which is the world’s 3rd biggest exporter to Egypt, with $3 billion, and also the 6th largest importer from Egypt with $3.2 billion. Türkiye was among the largest country investors in Egypt, with $103.5 million in 2022. Some 790 Turkish companies are operating in Egypt, with investment worth $2.5 billion.