Arab Finance: Egypt’s Minister of Industry, Khaled Hashem, has issued a decision to reorganize licenses for establishing, managing, or operating industrial activities outside industrial zones, aiming to facilitate procedures for industrial investors, as per a statement.

The decision permits the establishment of 65 industrial activities within urban areas and residential blocks, provided they are located in a separate building. This marks an increase from 17 activities previously allowed, reflecting an effort to expand opportunities for investors, particularly in activities that do not cause significant environmental damage.

It also allows industrial activities to be set up outside urban areas if their nature requires such locations, subject to approval from the competent administrative authority and compliance with the necessary operational requirements set by the Industrial Development Authority (IDA).

According to the decision, industrial activities outside industrial zones remain prohibited in principle. However, exceptions apply to activities within urban areas or approved built-up zones listed in Appendix 1, as well as to activities that require locations outside urban areas due to their operational nature. At the same time, the decision prohibits the establishment or operation of activities listed in Appendix 2 within industrial zones.

Licenses issued to industrial establishments prior to the implementation of the decision will remain valid. These entities are permitted to expand their current operations or add new approved activities within their existing premises, provided they meet all regulatory requirements. Violations will result in license revocation and the application of the new provisions.

The decision cancels Ministerial Decision No. 16 of 2025 and overrides any conflicting provisions. It will be published in the Official Gazette and come into effect the day after publication.

IDA will be responsible for issuing the rules, procedures, and requirements needed to implement the decision, as well as periodically reviewing and updating the activities listed in its appendices before submitting them to the minister.