Editing Economy of Egypt (section)

== Investment climate ==
Historically, private equity has played a limited role in business financing in Egypt. However, the government has undertaken several initiatives to improve the investment climate and attract foreign direct investment (FDI). The Investment Law of 2017 was introduced to streamline procedures and investor incentives, and was followed by a new company law and bankruptcy law in 2018 and a customs law in 2020, all aimed at creating a more efficient business environment.<ref name=invest-climate1>{{cite web | url=https://www.trade.gov/country-commercial-guides/egypt-investment-climate-statement | title=Egypt Investment Climate Statement | publisher=U.S. Department of Commerce | access-date=28 February 2025 }}</ref> Alongside these legal amendments, efforts to simplify company registration and encourage foreign participation have contributed to making Egypt one of the leading FDI destinations in Africa between 2016 and 2020.<ref>{{cite web |title=World Investment Report 2021 |url=https://unctad.org/webflyer/world-investment-report-2021 |website=UNCTAD |access-date=28 February 2025}}</ref><ref name=invest-climate1/>

To further enhance its economic attractiveness, Egypt has implemented fiscal reforms such as reducing corporate tax rates and cutting trade tariffs, aimed at increasing foreign investment and economic growth.<ref name=invest-climate2>{{cite web | url=https://www.state.gov/reports/2023-investment-climate-statements/egypt/ | title=2023 Investment Climate Statements: Egypt | publisher=U.S. Department of State | access-date=28 February 2025 }}</ref> At the same time, large-scale infrastructure projects, including transportation modernization, [[NUCA|new urban communities]], and the [[Suez Canal]]'s expansion, have been pursued to reduce logistical costs, enhance trade efficiency, and provide improved facilities for investors.<ref>{{cite news | url=https://www.dailynewsegypt.com/2024/12/21/government-focuses-on-enhancing-investment-climate-to-boost-competitiveness-el-khatib/ | title=Government Focuses on Enhancing Investment Climate to Boost Competitiveness: El-Khatib | publisher=Daily News Egypt | date=21 December 2024 | access-date=28 February 2025 }}</ref>

As part of the reforms, Egypt introduced "golden licenses", a single-approval mechanism that allows investors to acquire land and begin operations without requiring multiple approvals from various government bodies. The General Authority for Investment and Free Zones (GAFI) oversees the program, which aims to reduce bureaucracy and attract FDI. As of March 2024, 26 golden licenses had been granted.<ref name=invest-climate2/> Additionally, in July 2023, President El-Sisi ratified Law No. 159 of 2023, which eliminated exemptions for state-owned enterprises, ensuring equal regulatory treatment for all investors.<ref name=invest-climate2/>

To further encourage foreign capital inflows, the government has also introduced a citizenship-by-investment program, offering residency and citizenship in exchange for financial contributions.<ref>{{cite web |url=https://english.alarabiya.net/business/economy/2023/03/08/Egypt-offers-new-ways-foreign-investors-can-buy-citizenship-to-attract-vital-dollars |title=Egypt offers new ways foreign investors can buy citizenship to attract vital dollars |date=8 March 2023 |access-date=28 February 2025}}</ref>

Despite these efforts, challenges persist. Issues like corruption and the need for improved enforcement of regulatory frameworks continue to impact investor confidence. In 2024, Egypt scored 30 out of 100 on Transparency International's Corruption Perceptions Index, ranking 130th out of 180 countries.<ref>{{cite web | url=https://www.transparency.org/en/countries/egypt | title=Egypt - Corruption Perceptions Index | publisher=Transparency International | access-date=28 February 2025 }}</ref>