Egypt’s Minister of Finance Mohamed Maait has announced that his ministry is close to finalising a draft law which will impose a tax on social media advertisements and services offered through online platforms.
The minister said during a meeting with representatives from social media giant Facebook on Tuesday that Egypt is looking to benefit from the company's international experience in the area of taxes on social media advertisements and online services.
“As soon as the new law is drafted, it will be submitted by the ministry to all concerned bodies, including Facebook, to hear their opinion and proposals,” Maait said.
Maait also said that the idea behind this law is to keep up with global economic changes and digital transformation, in addition to ensuring continuous growth and to be in line with international standards in this regard.
The law is also a step towards integrating the parallel economy with the formal economy without harming the interests of entrepreneurs, and aims to achieve equal competitiveness in the market which should have a positive impact on the national economy, Maait said.
The representatives from Facebook welcomed the open dialogue with Egypt, saying they will cooperate with the finance ministry to provide the company's expertise in this regard.