Egypt’s Minister of industry and Foreign Trade, Tarek Qabil, has said the Cabinet has approved a draft law on facilitating the procedures of obtaining an industrial license, Footprint to Africa reports.
He added that the draft law which will be submitted to the Parliament for discussion should shorten the length of procedures for issuing industrial licences, in addition to overcoming bureaucracy and overlap in specialisations of government agencies.
“The proposed law would address the issues of granting operating licences, such as delays, which is a major deterrent to foreign investment.
“The new draft law will reduce the current duration of issuing licences, 634 days (according to the World Bank), down to just 30 days, which represents a significant administrative revolution in the investment climate in Egypt,” Qabil said.
The law, the minister added, would also contribute to the activation of the Central Bank of Egypt’s (CBE) initiative to provide EGP 200bn for financing SMEs and enable these entities to benefit from available concessional financing.
According to Qabil, “the law states that the requirements for licencing will be written up by a committee affiliated with the Industrial Development Authority (IDA), which specialises in selecting requirements necessary to grant the licence.”
According to Daily News Egypt, the minister disclosed that the prime minister is to issue a decision for the formation of the committee, and all relevant authorities who are represented in it, including the Federation of Egyptian Industries (FEI).