File Photo: workers at a factory. Photo courtesy of SIS.
The standardized documents are based on Law No. 5 of 2015, which requires government contracts and tender documents to prioritize Egyptian-made components under specified conditions.
The law aims to support local industry, increase the use of locally made components in projects, promote manufacturing localization, and reduce imports.
Under the law, the new standardized documents are intended to create a more supportive environment for SME manufacturers by establishing a unified procurement framework that all public sector entities will be required to follow.
The framework aims to improve the management of public funds, regulate competition and equal opportunities, unify key legal and contractual clauses, improve the quality of government tenders, and reduce errors and inconsistencies in tender documents.
SMEs are a key part of Egypt's private sector, which received a total of $2.9 billion (about EGP 136.5 billion) in financing in 2025, accounting for around 65 percent of total investment in Egypt.
The system will also strengthen institutional capacity in public procurement by helping entities that lack expertise in preparing tender documents, standardizing procurement practices across government agencies, and reducing reliance on individual interpretation, General Authority for Government Services Chairman Mohamed Adel said.
SMEs account for about 90 percent of Egypt's private sector, contribute 43 percent of GDP, and employ 75 percent of the workforce. In the 2026/2027 fiscal year, which begins on 1 July, the government expects the private sector to account for 59 percent of total planned investments of EGP 3.7 trillion.
Egypt is also working to increase the local content ratio in several manufacturing sectors, including the automotive industry, where locally made components are targeted to reach 60 percent of vehicle production by 2030.
Improving industrial efficiency and competitiveness is a key objective of Egypt’s National Industry Strategy 2030, which aims to expand industrial production, address structural challenges in manufacturing, and attract technology- and innovation-driven investment.
The new system is also expected to shorten tender and contract award procedures, support oversight and inspection, simplify the review of procurement contracts by applying unified standards, and improve compliance with the law.
The reforms are part of the government's efforts to increase transparency, prevent monopolistic practices in public tenders, and clearly define the rights and obligations of both government entities and private-sector bidders, according to the statement.
The reforms also form part of Egypt's commitments under its programme with the International Monetary Fund (IMF) to promote private-sector-led growth.
The government has expanded efforts to support entrepreneurship, SMEs, and startups by strengthening the legal and regulatory framework, including supervisory bodies, investment funds, and incentive programmes.
Egypt is also working to integrate more SMEs into its simplified tax system to encourage businesses to join the formal economy, improve tax compliance, and support business growth.
The reforms are also expected to promote sustainable economic growth by encouraging investment and increasing the industrial sector's contribution to GDP from 14 percent to 20 percent by 2030.
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