CAIRO: The Ministry of Housing, Utility and Urban Communities is set to offer lands for industrial investment through a usufruct system within days, Minister Mostafa Madbouly announced Monday.
“The Cabinet has approved Ministry of Housing proposal and we are considering the necessary mechanism for offering these lands,” Madbouly said in his speech at Egypt’s Real Estate Summit (ERES) conference Monday.
The Ministry of Housing has adopted a new policy aimed to overcome all problems hindering real estate investors, in addition to finalizing all investor settlement cases in order to reinstate investor confidence in Egypt and create an “attractive” investment climate, Madbouly added.
Approximately 88 percent of the Egyptian countryside is deprived of sanitation services, said Mabouly, urging businessmen to launch initiatives to implement sanitation projects in their places of origin, as a step towards establishing corporate social responsibility.
“Egypt needs 500,000 housing units annually, while the social housing projects only cover a small part of low-income needs,” said the minister, welcoming any initiatives for low-income housing.
The real estate sector is a main contributor to Egypt’s economic growth, affecting more than 90 industries, and accounting for at least 8 percent of the country’s labor force. The sector represented 4.6 percent, roughly 80 billion EGP (U.S. $11.5 billion) of Egypt’s GDP during the 2012/2013 fiscal year, and recorded a 5.9 percent growth rate, according to data from the Ministry of Housing.
About 35 billion EGP was invested in the real estate sector last year, according to the ministry’s data.
ERES opened as Egypt’s largest real estate exhibition approaches. Cityscape Egypt will be held April 9-12 at the Cairo International Convention Centre (CICC).
More than 250 leading real estate business officials and 40 speakers, including Minister of Supply and Internal Trade Khaled Hanafy and the head of the Egyptian Financial Supervisory Authority (EFSA) Sherif Sami, are taking part in the third edition of ERES.