Nuweiba - Wikimedia Commons
CAIRO – 31 March 2018: Minister of Investment and International Cooperation Sahar Nasr said that the government’s decision to establish a free zone in Nuweiba city in Sinai will allow the establishment of the first free zone since 2005.
She said in a press conference on Saturday that setting up the zone comes in light of the new investment law and the state’s plan to establish free zones in governorates to help create jobs.
Nasr said that free zones constitute 24 percent of Egypt’s exports, adding that completing the free zones in Nuweiba city and Minya governorate will bring the number of free zones in Egypt to 11.
She said that the decision to establish a free zone in Nuweiba is “important” in light of the state’s plan to develop Sinai, saying that financing for developing Sinai amounts to $16 billion.
Nasr added that the South Sinai governorate enjoys several incentives in the new investment law, including a 50 percent tax exemption from the investment cost of a project for renewable three years.
South Sinai governor Khaled Fouda announced on Saturday that the government agreed on setting up a free zone in Nuweiba.
He said that the foundation stone of the free zone will be laid soon, and that the project will be executed over two years, adding that it will provide 14,000 jobs and benefit the $500 billion mega city of Neom.
Egypt’s recently-issued investment law restored private sector free zones, which are areas exempt from taxes and customs.
The law aims at luring investors and ramping up investment in Egypt after years of political instability.