Sherif Fathy, Minister of Tourism and Antiquities, and Ahmed Kouchouk, Minister of Finance, revealed that the Cabinet has approved an additional 6-month period for the EGP 50 billion financing facilities initiative, effective October 20, 2025, to increase the hotel capacity currently available in the Egyptian destination in order to accommodate the targeted annual increase in tourists to Egypt, with the State Public Treasury bearing the interest rate difference. The move responds to the wishes of many companies and investors to benefit from the incentives the initiative includes to complete their projects.
A joint statement by the Ministries of Tourism and Antiquities and Finance said that the period for receiving applications and preliminary approvals from banks has been extended from October 20, 2025, until April 20, 2026. The initiative is part of the government's keenness to adopt more balanced economic and fiscal policies that stimulate private sector growth in economic activity, while giving high priority to the tourism and hotel sector, given its importance for employment, encouraging feeder industries and increasing foreign currency resources.
The two ministries explained that the benefit of the interest rate subsidized by the State Public Treasury under the tourism sector financing facilities initiative extends for 5 years from the date of the first drawdown from the banks. They added that it has been decided to open a final 6-month period from the end of the drawdown period to obtain the final or temporary operating license, by the end of December 2027 at the latest, to ensure that these hotels enter service quickly.
