On 5 January 2017, the Prime Minister issued decree no. 42 of 2017 determining the technical and financial requirements that must be met by a qualified investor to receive free industrial lands in Upper Egypt.
The determined land plots are distributed among eight Governorates in Upper Egypt: Aswan, Luxor, New Valley, Asyut, Sohag, Qena, Bani Sweif and Al-Minya. They shall be allocated only for industrial development purposes.
This free allocation system is a temporary one for only 3 years period ending on 31/3/2020.
The decree requires that the investor must be working in one of the sectors listed under the Investment Law no. 8 of 1997, and must submit technical, economic and financial feasibility studies to the Industrial Development Authority (“IDA”). Such feasibility studies shall explain the intended project, its implementation schedule and the sources of financing.
The Decree gives priorities to specific sectors, such as new and renewable energy projects, labor intensive projects, medium and small enterprises, projects using new technology, promoting the use of local component, or projects intended for exportation.