Egypt approves building new private free zone in Ain Sokhna

The new zone, to be named Italian Egyptian Company for Sustainable Technological Industries, is planned to be built on 40,000 square metres, read a cabinet statement on Wednesday.

The company will adhere to a government mandate to export at least 80 percent of its annual production and to use local components in 90 percent of its production inputs in the first three years of operation.

Egypt approved amendments to the investment law in June to simplify licence issuing for private free zone projects.

There are currently 11 investment zones with a total area of 2,400 feddans. Five additional investment zones are under construction in Cairo and Giza, spanning 2,000 feddans with EGP 157 billion in investments. They are expected to generate over 167,000 jobs.

Egypt has recently taken serious measures to improve its business and investment climate.

The country is seeking to raise the share of the private sector in the economy to 65 percent, up from the current 30 percent, based on its State Ownership Policy Document.