Egypt attracted $500 million from expat customs-free car import initiative: Minister



Tue, 18 Apr 2023 - 12:58 GMT


Tue, 18 Apr 2023 - 12:58 GMT

FILE - Finance Minister Mohamed Maait

FILE - Finance Minister Mohamed Maait

CAIRO - 18 April 2023: The Egyptian government has attracted $500 million from expatriates as part of an initiative allowing them to import cars for personal use free of customs duties and taxes in exchange for a deposit in foreign currency.

In a statement on Saturday, Minister of Finance Mohamed Maait said 800 imported cars have been already released in Egypt.

The minister shed light on the recent facilitations issued under the initiative, which include cutting customs tax by 70 percent.

This reduces the sums of money transferred from Egyptians abroad in different countries to the account of the Ministry of Finance by up to 58 percent, according to the engine’s liter capacity and type of fuel.

The deadline for applying for the initiative would be 14 May, Maait said, noting that there will be no further extension.

The initiative, approved by the Cabinet in October, allows expats to not pay custom taxes for importing their vehicles into Egypt and instead send the money to the Finance Ministry as a foreign currency deposit for five years.

After the five-year-term ends, expats will be given back the money with local currency, the Egyptian pound, without interests.

Egyptian expats under the law should have valid residence permits abroad, bank accounts that are not less than three months old, and must not less than 16 years old.

The government launched late last year the Egyptians Expats Cars app on both Android play store and iOS app store to allow the expats to apply for the initiative.

Maait has said the government works on attracting LE 50 billion ($1.6 billion) within the framework of the initiative.

The move came amid Egypt’s efforts to face the implications of the Russia-Ukraine war on its economy, including a drop in the country’s foreign currency reserves.



Leave a Comment

Be Social