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GAFI and InvestHK discuss Egypt's financial, business zones

Businessmen Team economy 21 May 2025 01:24 PM
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GAFI and InvestHK discuss Egypt's financial, business zones

Hossam Heiba, CEO of the General Authority for Investment and Free Zones (GAFI), met with Alpha Lau, Director-General of InvestHK (Hong Kong's investment promotion agency), to study Hong Kong's experience in organizing central financial and business districts. Hong Kong's experience has established it as Asia's leading incubator for investment funds and wealth management.

Heiba noted that the Egyptian government's proposed law on central financial and business districts aims to create a supportive environment for companies and financial institutions involved in fund and investment management, as well as global trade facilitation. This initiative seeks to position Egypt as the premier investment hub in Africa and the Middle East.

Heiba added that Egypt's vast local market and its ability to absorb significant investment flows across diverse sectors aligns with the Chinese model. This allows Egypt to genuinely attract and utilize investments, rather than simply re-distributing them to other countries.

The GAFI CEO emphasized that the success of the Egyptian government's plan to become the region's main hub for investment funds hinges on the high efficiency of Egyptian economists, bankers, engineers, and entrepreneurs. These professionals already manage some of the largest and most successful investment funds in Africa and the Middle East.

Heiba also mentioned that the Egyptian government aims to attract labor-intensive investments with a high local component, primarily focused on export. These investments will target several key economic sectors, including renewable energy, automotive manufacturing, spinning and weaving, electronics and home appliances manufacturing, pharmaceutical manufacturing, transport and logistics, health, and education.

Alpha Lau stated that Hong Kong serves as a permanent bridge between China and the rest of the world. Its business community benefits from tax and procedural facilitations, ease of investment entry and exit, and free trade agreements that connect Chinese goods to many countries globally. This has established Hong Kong as the platform from which Chinese companies expand internationally, and the main gateway for foreign companies to enter the Chinese market.

Lau announced that Chinese companies are eager to invest in Egypt through Hong Kong-based investment funds. This interest is driven by Egypt's exceptional geographical location and its remarkable ability to export goods and services to its African, Arab, and European neighbors. Consequently, InvestHK opened an office in Cairo last year.