Kouchouk explained that the first phase of incentives, launched in September, is part of the government’s efforts to create a business-friendly and investor-friendly environment.

This phase focuses on simplifying and standardizing procedures, reducing burdens and administrative costs, and increasing liquidity for business community partners.

The first phase included a simplified tax system for small businesses. This system entails merging informal economy projects into the economy, facilitating tax reporting and penalties, and streamlining VAT refunds. It aimed to enhance investor relationships and stimulate economic activity.

“We are adopting an incentive-driven framework for the business community, with a targeted focus on expanding the tax base by voluntarily attracting new taxpayers,” he added.

Additionally, he highlighted that the simplified tax system for small- and medium-sized taxpayers with annual earnings of up to EGP 15 million will strengthen entrepreneurship, startups, and professionals.

The minister also underscored the government’s private sector support in expanding production, increasing the local component, and boosting manufacturing. He clarified that the government is exploring new initiatives to settle overdue export dues for companies soon and has an ambitious programme to support exports in the upcoming fiscal year.

Finally, Kouchouk confirmed that the government is preparing a strategy to reduce and improve government debt indicators as part of the comprehensive national reform path.