Investment Guarantees Foreign Investments
1.1 Equal and Fair Treatment for Foreign Investment
Under the New Investment Law No. 72 of 2017, all investments are now explicitly guaranteed fair and just treatment without discrimination. Moreover, foreign investors may receive preferential treatment, upon Cabinet’s approval, if the investor’s country gives Egyptian investors similar preferential treatment.
1.2 No Expropriation of Investment-Projects
Investments may not be subject to arbitrary, abusive or discriminatory decisions or procedures. Investment projects may not be administratively attached, sequestrated or frozen, except by a final court order or judgment.
Projects may not be nationalized and title to their assets may not be expropriated, except for the public good and against fair economic value payable in advance without any delay, and transferable without restrictions.
1.3 Residence of Foreign Investors in Egypt
Foreign investors are now guaranteed residency in Egypt throughout the life of the investment project.
1.4 Hiring Foreign Employees
Foreigners may now constitute up to 20% of the labor force in the project and this percentage may increase in strategic projects.
1.5 Import and Export
Investment projects may import directly or through third parties their machinery, equipment, raw materials and production requirements without need to be registered in the Importers Register; and may export their products without need to be registered in the Exporters Register.
1.6 No Arbitrary Revocation of Licenses
Governmental and regulatory authorities may not revoke the investment projects license or suspend it, and may not cancel the land allocation, except after giving notice to the investor of the breach, hearing his views and giving him adequate time to remedy the breach. Moreover, no such decision may be taken without the prior opinion of GAFI. Further, the investor retains the right to appeal such decision before the GAFI Appeals Committee and then the courts, if necessary.
1.7 Conversion and Repatriation of Profits
Investors are entitled to own, operate, expand and finance their projects in foreign currency transferred from outside Egypt through registered banks without restrictions.
Similarly, the Government shall permit foreign investors to freely dispose of their assets, liquidate their projects, convert proceeds in local currency into foreign currency through registered banks and repatriate their profits, sale proceeds and/or their capital, in foreign currency, without restrictions or delays