Egypt's Minister of Housing, Utilities, and Urban Communities, Engineer Randa El-Manshawey, has announced the introduction of a new mechanism called "allocation with priority of reservation." This mechanism will be available starting from November, and it will allow Egyptian and foreign companies to book investment lands through the Foreign Investment Electronic Portal. The new system aims to facilitate procedures for investors to acquire lands and support the export of Egyptian real estate.
According to Minister El-Manshawey, the new mechanism comes as part of the ministry's efforts to ease procedures for investors to obtain lands, diversify offering and allocation systems, and accelerate the pace of investment and development in new cities. The new system will allow companies to register on the electronic portal, make a bank transfer from abroad through the SWIFT system with a minimum of $100,000, and pay $5,500. This includes $5,000 added to the company's electronic wallet and $500 collected as non-refundable study expenses.
Dr. Walid Abbas, Deputy Minister of Housing for Urban Communities, explained that booking an investment opportunity is done electronically once the company submits a request and completes the required bank transfer from abroad. The company must then convert the full value of the land in US dollars from abroad within a month from the date of notification and before completing the allocation procedures. Failure to comply will result in the confiscation of $100,000 and the cancellation of the initial land booking.
Dr. Ahmed Emara, Supervisor of the Real Estate and Commercial Sector at the New Urban Communities Authority, stated that the current system relies on paying the determined booking fee for each land plot through the electronic wallets of companies registered on the portal. The new mechanism allows companies to apply for "allocation with priority of reservation" for any offered lands, even if there are other booking requests for the same land. The priority will be given to the request that meets the conditions against the commitment to full payment in US dollars converted from abroad.
Dr. Ahmed Ismail, Acting Deputy Head of the New Urban Communities Authority for Planning and Projects, stated that the offering system will include two main tracks. The first track will offer investment lands with an installment plan and price competition, with the option of "allocation with priority of reservation" against full payment in US dollars converted from abroad. The second track will offer a selected group of highly distinguished lands with a 100% payment in US dollars converted from abroad.
The Egyptian government aims to achieve optimal utilization of investment lands in new cities, enhance their attractiveness to investors, and accelerate urban development rates. This supports the state's orientation towards exporting Egyptian real estate and increasing the authority's dollar resources. Interested companies can view available investment opportunities and booking controls through the Foreign Investment Electronic Portal.
The new mechanisms are expected to boost investment in Egypt's real estate sector and support the country's economy. The government's efforts to facilitate procedures for investors to acquire lands and support the export of Egyptian real estate are ongoing.
Key points
- The new mechanism called "allocation with priority of reservation" will allow Egyptian and foreign companies to book investment lands through the Foreign Investment Electronic Portal.
