The Egyptian Cabinet has approved a fixed 12% interest rate on installment payments for land sold to real estate developers across all governorates, according to جريدة المال. The decision was made to address financing burdens faced by developers.
The move applies to developers purchasing land from various state authorities. By setting a uniform interest rate, the government aims to ease the financial pressure on developers who pay for land in installments rather than upfront, the outlet reports.
The decision was part of a broader Cabinet meeting that included several other approvals. According to اليوم السابع, the Cabinet greenlit nine decisions during its weekly session. Among them was a separate measure reported by العربية, granting a golden license to a solar energy project valued at $750 million in Egypt.
Additionally, Masrawy reported that the government approved a new project in the Robeiki district to produce 2.5 million pairs of shoes annually. The Cabinet's actions reflect a wider push to support key sectors, including construction, renewable energy, and manufacturing.
The fixed interest rate is expected to provide more predictability for developers managing land acquisition costs, though the full impact on the real estate market remains to be seen. Observers will likely watch how the policy influences developer participation in future land auctions and project timelines.
