The General Authority for Investment and Free Zones (GAFI) is looking into establishing a financial hub in the New Administrative Capital's Financial and Business District, in cooperation with a UAE-South African consortium, GAFI Executive Director Hossam Heiba said.

Three financial hubs are also expected to be built in New Alamein and the Red Sea Governorate, Heiba added during a meeting with members of the Egyptian Lebanese Businessmen Association (ELBA) at the authority's premises on Saturday 30/09/2023.

This step is part of the 2nd phase of a GAFI strategy for creating a business-friendly environment and luring more investments, Heiba said, noting that these financial service hubs are governed by special legislation allowing foreign companies to do business in Egypt duty-free under a certain agreement to be renewed every 10 years.

The business scope of these companies covers a wide range of activities, including insurance, financial consulting services, investment funds, holding and family companies, as well as tourism, added the authority chief.

He said foreign direct investments (FDIs) in Egypt grew by 10 per cent in 2023, compared to the previous year, with FDI inflows hitting a record 71.4 per cent increase to register $8.9 billion during FY 2021-2022.

Egypt is the largest FDI destination in Africa and the second-largest FDI recipient in the Middle East, after the UAE, Heiba said.

MENA