The Egyptian Exchange (EGX) signed a memorandum of Understanding (MOU) with the General Authority for Investment and Free Zones (GAFI) to facilitate the procedures for capital increases for listed companies, and to enhance cooperation simplifying procedures mechanism and improving the business environment in Egypt.
This step is a continuation of cooperation between EGX and GAFI to raise the efficiency and competitiveness of the Egyptian market, by simplifying the procedures of capital increases for listed companies, disclosing EGX’s information and data electronically and switching to electronic systems in all provided services.
Dr. Mohamed Farid, Executive chairman of the Egyptian Exchange (EGX), said, “A joint executive committee will be formed to implement mechanisms and procedures needed to achieve the objectives of this agreement, which provides for the activation of electronic information dissemination, as well as the swift performance of the various services needed by the restricted companies.”
He stressed that any growing economy needs accelerating investment rates as well as high savings rates, pointing out that capital market is a unique and important tool for financing growing companies. He added that EGX has a representation office at GAFI established under the Investment Law No. 72 of 2017 and its executive regulations, providing services to investors and creating an attractive investing environment.
Mr. Mohamed Abdel Wahab, CEO of the General Authority for Investment and Free Zones (GAFI), said that the signing of this MOU is of vital importance especially in terms of working on the transactions mechanism, in line with Egypt’s digital transformation policy. He added, “The cooperation comes as part of GAFI’s keenness to build an integrated and up-to-date database for both entities and to switch to electronic systems, which contributes to accelerating the pace of needed by companies listed on EGX’s platform.
He explained that GAFI’s efforts are integrated to improve the business environment in Egypt and simplify and facilitate all procedures for the business community not only to Egyptian but also foreign investors. This comes in an effort to enhance the opportunities of attracting direct foreign investments to Egypt.