Unification of FX in Egypt will attract Emirati, Saudi FDI: UAE-based Freezoner CEO

Doaa A.Moneim , Tuesday 30 Apr 2024

The recent unification of the foreign exchange rate in Egypt will contribute to attracting more foreign direct investments into the country, Ramy Amin, co-founder and managing director of the UAE-based Freezoner, told Ahram Online.



Amin made his comments in an interview with Ahram Online on the sidelines of the event Freezoner held in Cairo on Tuesday in collaboration with Dubai-based International Free Zone Authority (IFZA) to explore and promote the investment opportunities in the Golden Triangle, which include Egypt, Saudi Arabia, and the UAE.

Freezoner is facilitator of investor services for emerging businesses, mainly in UAE, Saudi Arabia, and Egypt.

“Egypt is attractive for the Saudi and Emeriti business owners who plan to expand in the Middle East and North Africa (MENA) region, as the country has lots of potentials that deserve to be seized,” Amin told Ahram Online.

These potentials, according to Amin, include a skilled workforce and cheap operating costs. In addition, recent legal changes have made it easier to start a new business in Egypt.

Amin also noted that the major trend in the Saudi and Emirati market is to operate in Egypt, including expanding recruitment in the country.

“Since the establishment of Freezoner, we managed to establish over 3,500 new firms in the region, with Egypt coming in first in this regard,” Amin explained.

During a panel at the conference titled "Establishing Companies in the Golden Triangle Countries," Asem Darwish, CEO of UAE-based digital marketing services provider F360, said that investors in UAE and Saudi Arabia are really pleased with the unification of the foreign exchange rate in Egypt.

He stressed that before this decision, investors had refrained from expanding in the Egyptian market.

Darwish made his comments in response to a question from Ahram Online about the potential for gulf investors to expand in the Egyptian market.

The panel discussion featured Ramy Amin, co-founder and managing director of Freezoner; Jareer Jadallah, director of sales at IFZA; Asem Darwish, CEO of F360; and Ahmed Moselhy, founder of Hired HR Resources; and  Mazen Ghazi, business setup consultant in KSA Market

The panel featured a comprehensive overview of the business landscapes in the three countries, with insights shared by investment experts and entrepreneurs. Freezoner presented its perspective on investment possibilities in the Golden Triangle, highlighting suitable company types for each country and providing guidance on selecting the optimal legal framework. The conference also offered insights into tax considerations and strategies for successful investment in this burgeoning region.

"Egypt, the UAE, and Saudi Arabia exhibit pivotal qualities conducive to enhancing investment and development in the Middle East. These nations boast compelling investment pillars, with Egypt drawing approximately $10 billion in investments and making notable strides in the World Bank's Ease of Doing Business Index in recent years," remarked Amin,

He added that the UAE has emerged as a premier regional and global investment magnet, with Dubai alone hosting over 40 percent of Middle East-based companies. Meanwhile, Saudi Arabia has attracted foreign investments amounting to around SAR 11 billion and has become the base for over 180 companies.

“It is for these reasons that we convened this conference—to explore investment opportunities and strategies for overcoming challenges,” Amin added.

On his side, IFZA’s Jadallah said that his authority offers bespoke services to companies and investors, featuring flexible and efficacious business solutions.

“These encompass a diverse array of commercial licenses, registration services for foreign companies, corporate training, banking facilitation, insurance options, commercial real estate offerings, office design services, and more. This comprehensive suite of services positions us as the destination of choice for investors seeking to establish their companies and access legal, tax, and financial consultancy services,” he added.

Established in 2018, Freezoner has been committed to aiding investors in establishing their enterprises in the UAE with efficiency and cost-effectiveness. The company's focus is on providing comprehensive services, including marketing, accounting, immigration support, banking solutions, wealth management, and others. Freezoner is expanding its service offerings to entrepreneurs and investors in Saudi Arabia and Egypt.

In February, Egypt and the UAE’s ADQ signed a $35 billion deal to develop the coastal zone of Ras El-Hekma, marking the biggest FDI deal Egypt has ever signed. The deal implies dedicating $11 billion of UAE’s deposits at the Central Bank of Egypt (CBE) to the project’s related investments, with $24 billion will be handed to Egypt in cash flow through May.

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