Young businessmen: expected foreign investments in the education sector after modifying the contribution condition

Bassam Al-Shanwany, Vice President of the Egyptian Association of Young Businessmen, said that the government's approval to amend the foreigners ’contribution to the capital of the company invested in international schools comes within the directives of the political leadership to attract foreign investments and transfer expertise from abroad through twinning programs with Egyptian companies, which contributes to In raising the level of education in Egypt, adding that there are foreign investment funds that have a desire to invest in the education sector in light of the competitive advantages enjoyed by the Egyptian market.

 

And the number of "El-Shanawany", among the competitive advantages of the education sector in Egypt, most notably the steady population growth and at the same time a young demographic composition, a shortage of classrooms, an improvement in the investment climate, and investment opportunities available in the new cities, in addition to training and technical education and its importance in exporting employment He pointed out that the education sector needs more foreign investments. Therefore, this sector must be promoted to attract foreign investment that will be reflected in the level of education, and the development of teaching staff at the same time.

 

Al-Shanwani pointed out that the sustainability of the Egyptian economy’s positive growth, even in the crisis of Corona, needs to open horizons for foreign investments, especially in areas in which we have competitive advantages such as education, whether basic or technical education, which will open the door to raising the efficiency of employment and then the competitiveness of the Egyptian economy. .

 

The Ministry of Education had issued Decree No. 183 of 2019 to set a maximum percentage of foreign and dual-national investors' ownership in international schools by limiting it to 20% only before it was amended so that the school owner is a legal person with Egyptian nationality, and the ownership of a legal person may be for companies Or funds, foreign or dual national persons, or any legal person who is subject to Investment Law No. 72 of 2017 and Capital Market No. 95 of 1992 and its implementing regulations, and in this case the procedures prescribed for legal persons owned by Egyptians shall apply to them, and in the event of any objection. Concerned The matter is referred to a special committee at the Ministry of Education, in order to decide on a final decision on whether or not the legal person has met this condition.