EGX welcomes government decision to suspend capital gains tax

Chairman of the Egyptian Exchange Mohamed Omran welcomed a government decision to halt the enforcement of capital gains taxes for two years.

In a statement, of which MENA obtained a copy, Omran welcomed the government’s swift response to the demands of the capital market community, showing its complete understanding of economic conditions.

The decision on suspending the tax, levied on capital gains on the stock market, reflects the political leadership’s awareness of EGX’s development role in the national economy, Omran said.

Earlier, the Egyptian government announced suspending the 10% capital gains tax for two years to maintain the competitiveness of the market but will remain effective on cash dividends.

The decision came as part of non-stop efforts to achieve economic reform while taking into consideration the ability of the investment climate in Egypt to attract investments, Cabinet spokesman Hossam el Qawish said.