12 hours ago
President El-Sisi reviews outcomes of 1st tax facilities initiative - Economy
President El-Sisi made this outcome review during a meeting on Sunday with Prime Minister Mostafa Madbouly and Minister of Finance Ahmed Kouchouk.
"According to Law No. 6 of 2025, the number of taxpayers who have applied to benefit from the tax incentives and facilitations for projects whose annual turnover does not exceed EGP 20 million has reached 52,901," Kouchouk said, according to a presidential statement.
In September 2024, the government introduced the new tax facilitation package to support small businesses, startups, and freelancers and foster a more accessible and investor-friendly environment.
The tax facilitation plan was then incorporated into Laws Nos. 5, 6, and 7, which were passed in February 2025.
This integrated tax system was specifically designed for businesses with annual revenues not exceeding EGP 15 million, benefiting small and micro enterprises, entrepreneurs, freelancers, and professionals.
The new framework has simplified the tax filing process, allowing businesses to submit or amend tax returns for 2021-2023 without incurring penalties.
The Sunday meeting also discussed the latest developments regarding the Ministry of Finance's plan for international issuances for the fiscal year 2024/2025, aligning with efforts to reduce external debt for budgetary bodies.
Preliminary indicators point to the government and the Ministry of Finance's success in reducing the external debt balance for budgetary bodies by $1 to $2 billion annually.
Moreover, the meeting discussed the increasing volatility in international markets and the impact of geopolitical challenges, especially the war between Iran and Israel, on rising uncertainty in key global markets, particularly shipping and commodity prices.
The meeting also discussed Egypt's financial performance from July 2024 to May 2025, highlighting the achievement of a large and strong primary surplus, the reduction of the overall deficit ratio, and strong and accelerated growth rates in tax revenues, reaching 36 percent due to improved economic activity.
They also reviewed the primary targets for FY2024/2025, especially the debt ratio of general budgetary bodies to GDP (domestic and external), the development of tax revenues, the growth rate, the status of wages and employee compensations, and the status of goods and services purchases and interest payments.
The Minister of Finance also highlighted efforts and developments related to monitoring the implementation of the IMF programme reforms and ongoing negotiations to approve the disbursement of the tranche related to the fifth review.
