Egypt has expanded the range of industrial activities eligible for investment incentives, offering tax deductions of up to 50% of investment costs to boost local manufacturing and deepen supply chains, the investment minister said on Wednesday. Under the decree, projects in designated “Sector A” regions will receive a 50% deduction of investment costs from net taxable profits, while “Sector B” projects will receive a 30% deduction. Investment and Foreign Trade Minister Mohamed Farid Saleh said the deductions would be applied over a seven-year period and are capped at 80% of the paid-in capital. “The decision represents a qualitative step toward the broader activation of the Investment Law to support the localisation of industry,” Saleh said. He further noted that the government is currently studying the addition of more industrial activities targeted for local manufacture.

Source: Daily News Egypt February 25, 2026 14:44 UTC