GAFI CEO highlights latest business reforms via streamlined unified tax system

Hossam Heiba, CEO of the General Authority for Investment and Free Zones (GAFI), shared Egypt’s latest steps to reform its business environment by replacing the current patchwork of government-imposed fees on companies with a streamlined, unified tax based on net profits.

Speaking at the recent Egyptian-Kuwaiti Cooperation Council meeting, Heiba noted that the overhaul is part of a broader strategy to cut red tape, enhance transparency, and create a more attractive climate for investors.

The new taxation model is expected to roll out within the next few months as part of a national effort to simplify investment procedures and encourage private sector growth.

The initiative comes amid what Heiba described as a turning point for Egypt’s economy, which has recently seen record-breaking foreign direct investment (FDI) inflows totaling $46.1 billion in FY2023/2024.

The meeting was attended by key figures including Public Business Sector Minister Mohamed Shimi, Labor Minister Mohamed Gebran, Egyptian Exchange Chairman Ahmed El-Sheikh, Assistant Foreign Minister for Arab Affairs Ihab Fahmy, and representatives of both sides of the council—Mohamed Jassim Al-Saqr for Kuwait and Dr. Mamdouh El-Araby for Egypt.

Heiba attributed this surge to key structural improvements, including a stabilized exchange rate, improved access to foreign currency, modernized infrastructure, and streamlined investment licensing processes. Digitalization of government services and tax reforms have also played a pivotal role.

The government’s economic vision, Egypt Vision 2030, aims to shift the investment balance toward the private sector, targeting a 70 percent private sector contribution to total investment and $145 billion in exports by the end of the decade.