A committee should be formed to oversee the new system, which is meant to encourage shopping tourism in a way that would help turn Egyptian resorts into international shopping hubs, Maait noted.

A specialized company should be built in cooperation with an international firm to manage the electronic system, he made it clear.

A VAT return should be applied to all purchases of any foreign visitor that exceed 1,500 pounds, Maait said, noting that the refund would be made upon their departure.

The system will first be applied in the Red Sea resort city of Sharm el Sheik before the end of this year, the minister said.