A copy of what appear to be the executive regulations to the Investment Act has leaked. The regs — on which the Ismail Cabinet signed off last week — list industries and projects eligible for incentives including tax and customs breaks under the government’s investment-promotion framework. Among the highlights include:

• An investment must export 50% of its output to qualify to certain incentives;
• A company’s corporate social responsibility agenda will be a component of whether it qualifies for incentives;
• Foreign labor cannot exceed 10% of the total workforce unless an assessment committee deems a situation exceptional enough to require raising the cap to 20%;
• Foreign workers and investors are guaranteed the rights to repatriate profits and earnings;
• Special incentive areas, such as the Suez Canal Axis and Golden Triangle area, will be outlined in the government’s upcoming investment map of 600 or so projects, which should be issued in December and updated on a regular basis.

The regs also outline the rules for the development and management of private freezones, as well as investment and tech zones. Under the new regs, the General Authority for Freezones and Investment (GAFI) will form a technical committee to oversee the establishment and administration of private freezones and projects they house. To remind you all, companies operating in private freezones must have a capital no less than USD 10 mn, employ at least 500 workers, export at least 80% of output, and source at least 30% of production inputs locally.

The regulations will come into effect once published in the Official Gazette. Click or tap here for a refresher on the regs, or view the full leaked copy here courtesy of Al Masry Al Youm.