PM holds meeting to boost real estate exports, activate investment funds
CAIRO – 8 May 2024: Prime Minister, Mostafa Madbouly, key government officials met to discuss the development of real estate export initiatives and the activation of real estate investment funds. The meeting aimed to explore opportunities to attract foreign buyers and generate new foreign exchange sources for the Egyptian economy.
Madbouly acknowledged the promising opportunities Egypt holds for attracting foreign investment in its real estate sector, particularly in tourist areas, with the northern coast being a focal point. He highlighted the recent interest from Gulf countries’ citizens in purchasing Egyptian real estate and emphasized the role of real estate development companies and exhibitions in promoting this unique offering.
To ensure the foreign exchange revenue inflows into the banking system and support the recovery of the real estate sector, Prime Minister Madbouly stressed the need for direct entry into the banking system. Minister of Justice, Omar Marwan, referred to a recent decision that mandates that when registering ownership contracts for foreigners, proof of value transfer for the housing unit from abroad must be submitted to the banking system, in accordance with laws and regulations governing foreign currency unit sales.
Counselor Mohamed Al-Homsani, the official spokesman for the Egyptian Cabinet, highlighted the government’s efforts to attract foreign investments and reform the investment environment in support of the economy. He announced that the Ministry of Justice has completed a draft law to amend certain provisions of Law No. 230 of 1996, which regulates the ownership of private property by Egyptians. This amendment aims to motivate non-Egyptians to invest in Egyptian real estate and encourage the growth of this vital sector.
During the meeting, the Prime Minister also addressed the progress of a committee established to study proposals for activating real estate investment funds, in line with a presidential mandate. The committee, headed by the Minister of Justice, held its inaugural meeting in the presence of the Chairman of the Financial Supervision Authority and the Deputy Chairman of the Tax Authority. It reviewed several legislative, regulatory, and administrative aspects related to real estate investment funds.
Representatives from the Egyptian Real Estate Investment Fund and other stakeholders participated in the discussions, resulting in agreements on various legislative and administrative amendments that aim to activate the role of real estate investment funds.
The committee is scheduled to reconvene next Monday to approve the agreed-upon amendments with representatives from various parties. These amendments aim to encourage investment in real estate funds and enhance their effectiveness in promoting real estate investment.
