Hassan El-Khatib, Egypt's Minister of Investment and Foreign Trade, outlined the government's ongoing efforts to foster a more competitive and investment-friendly business environment. Speaking during a meeting with a delegation of MBA students from Stanford University visiting Cairo to learn about Egypt's business landscape, El-Khatib emphasized the role of comprehensive reforms in driving economic growth and attracting both local and international investments. El-Khatib shared that the government is implementing a series of monetary, fiscal, trade, and procedural reforms to create a supportive institutional and legislative framework. These reforms aim to streamline procedures, reduce barriers for investors, and provide a stable and resilient economic environment that enhances investor confidence. The minister stressed that these initiatives are designed not only to strengthen Egypt's business environment but also to establish the country as a competitive and attractive investment hub in the region. He underscored the importance of the private sector as a critical driver of economic transformation and growth.
Key Reform Initiatives El-Khatib presented a two-phase approach to financial reforms. The first phase focuses on revising key financial deductions applied to businesses, such as the solidarity contribution tax, shifting its calculation from revenues to profits. Ongoing coordination with all relevant stakeholders is a critical part of this process. The second phase will involve a detailed analysis of each sector to tailor reforms that address specific challenges and opportunities, ensuring a targeted and effective approach to improving the business climate. In addition to these financial reforms, El-Khatib outlined an ambitious plan to reduce customs clearance times to just two days by 2025. This initiative aims to enhance Egypt's trade competitiveness, cut logistical costs, and streamline foreign trade processes.
Enhancing Egypt's Global Competitiveness The minister also discussed the government's broader vision of positioning Egypt as a country with an open trade policy. By increasing exports, creating an attractive environment for local industries, and enhancing their competitiveness globally, these reforms are expected to improve Egypt's performance in international trade rankings. El-Khatib also provided an update on the ministry's work to finalize a comprehensive investment strategy focused on attracting foreign direct investment (FDI). This strategy will further simplify procedures and enhance the business environment, ensuring Egypt remains a top destination for investment and trade in the region. He highlighted the many advantages Egypt offers to investors, including a skilled workforce, competitive wages, abundant energy resources, industrial land, and access to key raw materials. Additionally, Egypt's participation in multiple free trade agreements boosts the global competitiveness of Egyptian products.
Public-Private Partnerships for Sustainable Growth El-Khatib reiterated the government's commitment to strengthening the role of the private sector as a key engine for economic innovation and growth. He emphasized that public-private partnerships (PPP) will be vital in driving job creation, innovation, and sustainable development across Egypt's economy. The session, which focused on Egypt's economic transformation, entrepreneurship, and energy initiatives, also featured prominent business leaders, including Ahmed Heikal, Chairperson of Qalaa Holdings; Omar El-Hamamsy, CEO of Orascom Development Holding; and Ahmed El-Naggar, CEO of Daltex. By fostering a more competitive business environment and strengthening collaboration with the private sector, the government aims to position Egypt as a regional leader in investment, trade, and economic growth.
