Egypt’s Minister of Planning, Economic Development, and International Cooperation, Rania Al-Mashat, chaired the first meeting of the Entrepreneurship Ministerial Committee, established pursuant to a decision by the Prime Minister.
This initiative aims to bolster the capacity of startups and the entrepreneurial environment, contributing to the creation of decent job opportunities and achieving sustainable and accelerated economic growth based on competitiveness and knowledge.
The meeting, attended by several ministers and government officials, including Ayman Ashour, Minister of Higher Education and Scientific Research; Hassan El-Khatib, Minister of Investment and Foreign Trade; Hossam Heiba, Head of the General Authority for Investment; Ghada Labib, Deputy Minister of Communications and Information Technology for Institutional Development; Yasser Sobhi, Deputy Minister of Finance; Sherif Lokman, Sub Governor of the Central Bank of Egypt for Financial Inclusion; and Mohamed Al-Sayyad, Deputy Head of the Financial Regulatory Authority, underscored the government’s commitment to supporting the entrepreneurial community.
“The ministerial committee is establishing a new phase of governmental support to create a stimulating business environment for startups and enhance the competitiveness of the Egyptian economy,” said Al-Mashat.
Al-Mashat stressed that the committee’s work aligns with President Abdel Fattah Al-Sisi’s directives to provide all possible support for startups, enhancing their contribution to the Egyptian economy. She also highlighted the government’s commitment to implementing the new government program, which prioritises innovation and empowering startups.
The meeting discussed key challenges facing the entrepreneurial community, particularly funding gaps, the need for incentives for foreign investors, including tax exemptions to encourage investment in startups, and the need to reconsider existing laws and regulations to ensure alignment with international standards and the needs of startups.
Al-Mashat also highlighted the importance of leveraging international best practices in entrepreneurship and key methodologies for issuing licences and regulations in various countries.
She mentioned the Ministry of Planning, Economic Development, and International Cooperation’s analysis of diagnostic reports and studies to identify key challenges facing startups in Egypt, which will serve as a foundation for monitoring the entrepreneurial community’s demands and formulating policies to facilitate access to regional and international markets.
Al-Mashat emphasised the importance of prioritising innovation as a fundamental aspect of economic growth, as outlined in the World Bank report, “The Middle-Income Trap.” She also highlighted the depth and strength of relations between Egypt and international financing institutions supporting startups in Egypt, noting that 42% of venture capital in Egypt comes from these institutions.
Ashour highlighted the role of Egyptian universities in supporting entrepreneurship through university innovation and entrepreneurship centres, as well as collaborations with the private sector to develop student skills and meet the demands of local, regional, and international job markets. He also presented the efforts of the Innovators Support Fund (ISF) to support innovative and creative students.
Heiba emphasised the need to unify government efforts to support entrepreneurs and establish guidelines that encourage them to capitalise on developmental opportunities.
The Deputy Minister of Communications and Information Technology highlighted the ministry’s commitment to supporting all efforts of the ministerial group for entrepreneurship to promote the development of the startup sector in Egypt through the “Egypt Innovate” platform.
The Deputy Minister of Finance emphasised the provision of comprehensive support regarding tax incentives for startups, underscoring the paramount importance of innovation and technology in achieving economic growth and overall stability.
The Assistant Governor of the Central Bank of Egypt noted the necessity of maximising benefits for startups and entrepreneurs, raising awareness within the governmental sector of this role, and analysing the current situation of the entrepreneurial environment on various levels. He pointed out that financing remains one of the main challenges facing the entrepreneurial community in Egypt, necessitating clear and effective strategies.
The committee discussed the proposed regulatory framework for the ministerial group for entrepreneurship at the technical secretariat level, including working groups and their primary tasks. The meeting concluded with a presentation of a video featuring the views of startup founders, investors, supporting entities, and international development partners, who praised the establishment of the ministerial group as a positive signal for the government’s commitment to supporting entrepreneurship.
This initiative aims to bridge gaps between the government and the business community in Egypt, consolidating efforts previously carried out by each ministry individually.
