Finance Minister Amr El Garhy confirmed yesterday that 52 goods would be “completely exempt” from the value-added tax (VAT)and again noted that the ministry’s proposed 14% baseline rate was “fair” in view of the average in most countries globally being higher, according to remarks carried by Al Shorouk. The minister also noted that investors from a number of sectors have taken a renewed interest in Egypt since the announcement of the staff-level agreement with the IMF on a USD 12 bn, three-year facility. It seems “very likely” the IMF’s executive board would approve the extended fund facility, he added.

Elsewhere, the finance minister told Al Masry Al Youmthat the value of the EGP on the parallel market does not reflect the currency’s true strength. The government is looking to cut the cost of importing production inputs while growing exports, he added, noting that it would also be important going forward to launch campaigns to improve the flow of inbound tourists.